Shiba Inu has recently displayed a historical bull flag pattern in its price action, suggesting a potential breakout to the upside that could result in a significant 400% increase. This projection, according to an analyst on TradingView, indicates a potential return to Shiba Inu’s all-time high.
The analyst, named “without_worries,” analyzed Shiba Inu’s price action and highlighted a significant correction in which the cryptocurrency retraced approximately 75% from its yearly high. This correction formed a bull flag pattern, characterized by lower highs and lower lows.
Several factors contribute to the analyst’s bullish outlook on Shiba Inu. Firstly, the breakout above the bull flag pattern often signifies the continuation of an upward trend after consolidation. Additionally, the Relative Strength Index (RSI) has provided a bullish signal by breaking above a descending trendline for the first time since April and trending upward meaningfully.
While a retest of the bull flag pattern is possible, the analyst emphasized the potential for a repeat rally similar to the previous major breakout. During this breakout, Shiba Inu surged by approximately 400%. If history were to repeat itself, the cryptocurrency could surpass its current 2024 peak and reach a target range between $0.00006204 and $0.000074.
Another analyst, Javon Marks, supports the bullish sentiment by predicting a return to Shiba Inu’s all-time high based on an earlier breakout of a falling wedge pattern. Marks suggests a potential rise to $0.000081.
In recent days, Shiba Inu has experienced volatility, reaching a low of $0.00001613 before gaining approximately 11.84%. However, it has faced resistance at $0.00001809. At the time of writing, Shiba Inu is trading at $0.00001809.
Overall, technical analysis indicates an optimistic outlook for Shiba Inu, with the possibility of a substantial price increase and a return to previous highs.