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Shiba Inu (SHIB) is now priced at around $0.00001783, just below a major resistance zone which means the market is in a good mood. Market analysts are ready to witness another possible rally in the meme coin space.
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Crypto influencer Davinci Jeremie noted that during the last bull cycle, Dogecoin (DOGE) reached a market cap of $88.8 billion, while SHIB peaked at $40 billion. This increase will increase the market capitalization of meme coins to one trillion dollars.
Last cycle we saw $DOGE coin reach a market cap of $88.8 billion & $SHIB reach $40 billion.
I think we will see memes when the asset class reaches a market cap of nearly $1 trillion this cycle
— Davinci Jeremie (@Davincij15) October 17, 2024
Currently, the market capitalization of meme coins has soared to $58 billion, which, while still lagging behind other rising crypto sectors such as AI-based tokens and real-world crypto assets, is still a solid number.
On the bullish side, investors will have a pretty good chance of making significant gains after breaking the resistance level to $0.000028, with the current momentum on their side, there is hope that other meme coins will also perform well.
Current Status of Meme Coins
This may have ended its global trend reversal and halted the previous downtrend, but don’t count it out yet because in late September 2024, SHIB experienced a huge surge as it recorded an all-time high of $0.00002135.
This peak managed to break two strong resistance levels which can only be good for the coin and other meme coins. From PS Trade’s technical analysis, there is a high resistance point, namely $0.00002052 where around 83.75 trillion tokens are stored at that price level.
$SHIB
Although the price of #SHIBUSDT still has not risen confidently in the 3-day timeframe, the reversal structure of the global downtrend has been completed. Therefore, our target for this cryptocurrency is 100% growth. pic.twitter.com/DhOcxx3j1T— PS Trade (@PStrade2) October 16, 2024
PS Trade said the global downtrend reversal structure has been completed although the SHIBUSDT price still has not increased too strongly in the three-day period. For this coin, he said, their goal is a 100% increase.
It is known that at the end of September, a double local top had formed on two consecutive days above the highest price reached in mid-July. However, the strongest resistance range lies between $0.000018 and $0.000020 as 439.16 trillion tokens are spread across 45,620 wallets. If the SHIB bullish trend continues, then SHIB may test the next major hurdle at $0.000028.
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Shiba Inu: Technical Indicators and Market Challenges
Institutional investors with large positions pushed SHIB back below $0.000018. Because CMF is still negative at – 0.22, this creates selling pressure from large shareholders. Meanwhile, StochRSI revealed that SHIB has entered an overbought position as its value oscillates between 71 and 57.
Therefore, it is important for oscillators and charts to start showing signs of short-term volatility and further correction if selling pressure continues. However, considering the strong bullish setup, a further rally is very likely. Investors need to be aware of key resistance levels as well as technical indicators for further SHIB movement.
Featured image from CNBC, chart from TradingView
