- Shiba Inu surpasses 3-month bearish trendline, signaling potential shift in momentum.
- Price remains above 20 EMA, suggesting short-term bullish strength and key resistance near $0.0000088.
- MVRV ratio remains low, indicating room for further gains before overbought conditions.
After nearly 90 days of pressure, Shiba Inu finally made a move that traders have been waiting for. The memecoin broke above the bearish trendline that started on October 6, signaling a potential shift in momentum. This breakout has attracted attention from both retail investors and market analysts. While optimism is rising, the rally faces key hurdles. Understanding critical price levels could help traders plan their next moves.
SHIB Gains Momentum
Over the past week, Shiba Inu rose by 16.83%, pushing its price to $0.0000087. The surge came after the coin broke out of a falling wedge on the four-hour chart. Before this, SHIB risked slipping below $0.0000076, with $0.0000070 acting as a deeper support level. Buyers stepped in just in time, preventing further losses. Since January 1, bullish control became evident, confirmed by the Bull Bear Power indicator.
The breakout allowed SHIB to surpass resistance levels near $0.0000075 and $0.0000088. Despite a minor pullback after hitting $0.0000091, the momentum remains positive. The 20-period Exponential Moving Average continues to provide support, keeping the token on an upward trajectory. If buyers maintain pressure, SHIB could challenge the $0.0000088 resistance level again.
Traders watching closely see these technical cues as signs that momentum could continue. Liquidity across major crypto exchanges has supported trading activity. The renewed buying pressure reflects growing confidence among investors. Analysts note that a sustained push above $0.0000088 could attract more buyers. The short-term trend suggests cautious optimism.
On-Chain Metrics Support Upside
The 30-day Market Value to Realized Value (MVRV) ratio stands at 4.73%. Historically, SHIB reaches local tops when this ratio climbs between 10.62% and 28.55%. Since current levels remain well below that range, the memecoin has room to grow before hitting overbought territory. Recent buyers are seeing only modest unrealized profits, which reduces immediate selling pressure.
This scenario indicates that traders may hold positions for longer, supporting the ongoing rally. Market participants often use the MVRV ratio to gauge potential exhaustion points, and SHIB appears far from that threshold. Historical patterns suggest that as long as the ratio stays low, the uptrend could continue. Analysts anticipate that once the ratio reaches the double-digit zone, more caution will be necessary.
The combination of technical breakouts and favorable on-chain metrics strengthens SHIB’s case for additional upside. Traders watching the coin’s next moves should focus on $0.0000088 and $0.0000091 as critical zones. Breaches above these levels could signal further gains. Conversely, failure to hold current support may slow momentum and prompt consolidation.