Benzinga - Prominent cryptocurrency analyst Ali Martinez foresees a major bullish breakout on the horizon for the self-proclaimed “Dogecoin (CRYPTO: DOGE) killer” Shiba Inu token (CRYPTO: SHIB), but he also pointed out what will happen in case it “faces rejection.”
What Happened: On Friday, Martinez, a well-regarded crypto analyst, took to X (formerly Twitter) and said from September 2022 onwards, Shiba Inu has been transacting within a downward parallel channel.
He went on to say that SHIB is teetering on the edge of a bullish breakout, with a noteworthy twist. Martinez said, “Currently, $SHIB is testing a crucial resistance at the upper boundary of this pattern, around $0.000011.”
See Also: Here’s How Much You Should Invest In Shiba Inu Today For A $1M Payday If SHIB Hits 1 Cent?
According to the analyst, a decisive weekly close above this level could potentially pave the way for a bullish rally toward the $0.000014 mark. On the flip side, a rejection at this juncture could result in a short-term drawback, with a possible pullback to $0.000008 before the anticipated bullish breakout.
Since Sept 2022, #ShibaInu has been trading inside a descending parallel channel. Currently, $SHIB is testing a crucial resistance at the upper boundary of this pattern, around $0.000011.A decisive weekly close above this level could signal a bullish breakout, propelling $SHIB… pic.twitter.com/dB24JnPGhw
— Ali (@ali_charts) December 14, 2023
Why It Matters: Last week, the Shiba Inu token witnessed an increase of more than 800%, resulting in the removal of 10 million SHIB from circulation. This uptick in the burn rate was largely due to a major transaction that incinerated over 10 million SHIB tokens.
Earlier this week, Shiba Inu outperformed its meme coin rivals like Dogecoin and Pepe (CRYPTO: PEPE). At the time, cryptocurrency analyst Alan Santana suggested a potential pattern in Shiba Inu’s price movement, predicting sustained long-term growth.
Price Action: At the time of writing, SHIB was trading at $0.000010, down 0.47% in the last 24 hours, according to Benzinga Pro.
Read Next: Shiba Inu: A Dogecoin Knockoff Transforms Into A $4 Billion Web 3.0 Powerhouse
This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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