Experts are predicting a bullish move for SHIB. They base their prediction on three significant elements that constitute a confluence and will retest Shiba Inu prices reports fxstreet.com. First, Shiba Inu prices have retraced 18% after surging by 75% between February 4 and 7. The early run-up set up a demand zone, extending from $0.0000270 to $0.0000288, and finally reached a local top at $0.0000352.
Shiba Inu’s price creates a confluence of three factors hinting at a 16% bounce.
Investors continue to rake in profits while Shiba Inu price retests this demand zone. The demand zone contains the 50-day Simple Moving Average (SMA) and the 200-day SMA, coinciding at roughly $0.0000270.
The demand zone also carries a weekly foothold at $0.0000283. Furthermore, it creates a convergence of multiple support levels around roughly $0.0000270, a formidable barrier to breach. Therefore, a bounce off this area will see Shiba Inu’s price rally at least 16% to retest 100-day SMA at $0.0000333.
A fall of $0.0000270 will invalidate the bullish thesis.
However, this bullish theory can be invalidated if a potential spike in selling pressure that pushes SHIB to produce a four-hour candlestick close below $0.0000270 will create a lower low. It can happen even when things look pretty solid for Shiba Inu’s price.
This move can create a path for the bearish sentiments to come into play and knock the altcoin down to $0.0000233. It will fill a fair value gap, extending from $0.0000270 to $0.0000233. If buyers get together around this level, a comeback seems likely for Shiba Inu’s price.
Meme coins are crypto-assets themed by memes on social media. For example, the top three canine-themed meme coins are Dogecoin (DOGE), Shiba Inu (SHIB), and Dogelon Mars (ELON).
Most cryptocurrencies, other than meme coins, like Bitcoin(BTC) Ethereum(ETH) values are based on their utilities or project. However, this is not the case with meme coins, whose values are often driven by their popularity or possibly greed.