Shiba Inu Price Forecast

Shiba Inu price has remained in a deep bear market this year, crashing over 55% from its highest level in November. SHIB token was trading at $0.00001455 on Monday morning, nearing its lowest level since September last year. So, will the SHIB token rebound in March?

Price Movement

The daily chart shows that SHIB peaked at $0.0000332 in November, followed by a strong bearish trend, bottoming at $0.000012 in February.

It has consistently traded below the 50-day and 100-day Exponential Moving Averages (EMA), indicating bearish control.

Notably, the token is hovering at a critical support level that coincides with the lowest points in July, August, and September of the previous year. It also matched the lowest level in February last year.

The coin has formed a falling wedge chart pattern, suggesting a potential rebound later this year. A wedge consists of two falling, converging trendlines, and a bullish breakout typically occurs as the price converges.

Additionally, SHIB has created a triple-bottom chart pattern at $0.00001260, highlighting that the token failed to drop below this level multiple times this year. Such patterns often lead to bullish breakouts, aiming for a neckline at $0.00003326.

A bullish divergence pattern has also developed, with the Percentage Price Oscillator (PPO), a variant of the MACD indicator, starting to rise slightly despite SHIB’s price decline. The Relative Strength Index (RSI) has similarly tilted upward.

Thus, the path of least resistance for the coin appears bullish, with the next target at $0.00003326—the highest level from December of last year. A fall below the support level at $0.00001 would invalidate this optimistic outlook.

Potential Catalysts for SHIB Price

Several factors could catalyze a rise in SHIB price:
1. Market Trends: Analysts believe the coin will likely benefit from an anticipated crypto rebound this month, with optimism around Bitcoin and altcoins recovering after a decline over the past two months.
2. Political Events: Donald Trump plans to host a crypto summit at the White House, which could trigger a market surge. Popular cryptocurrencies like Cardano and Ripple (XRP) have already seen increases ahead of the event.
3. Deflationary Mechanism: Shiba Inu is known for being one of the most deflationary meme coins due to its token burn strategy. The network burns millions of SHIB each day, with over 15.5 million burned in the last 24 hours alone, totaling 410 trillion from the initial supply.
4. Transactions in Shibarium: The number of transactions on Shibarium has exceeded 947 million, aiming for the 1 billion mark soon. The number of addresses in Shibarium has risen to 99.99 million, with accounts growing to 240k.
5. ETF Approval: There is a possibility that the Securities and Exchange Commission will approve a spot Shiba Inu ETF, which would attract institutional investments.

Read more: Crypto price prediction: Hedera Hashgraph, Grass token, BNB

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