(Akash Girimath – FXStreet)
– Shiba Inu price has sustained its recent breakout from a bullish pennant, hinting at an uptrend.
– Investors should be cautious of the $0.0000139 hurdle before the rally reaches its target at $0.0000154.
– A daily candlestick close below the $0.0000095 support level will invalidate the bullish thesis for SHIB.
Shiba Inu price has managed to maintain its upside momentum after breaking out of a bullish pattern. This development indicates that SHIB is ready to take off to the next significant level.
Shiba Inu price makes its move
Shiba Inu price is breaking out of a bullish pennant, aka a continuation pattern. The technical formation is made up of a flagpole and a pennant.
In this scenario, the 34% explosive move between June 19 and June 25 set up the flagpole and the consolidation that ensued in the form of higher lows and lower highs created a pennant. This pattern, from a theoretical standpoint, forecasts a 34% upswing to $0.0000154, which is obtained by adding the flagpole’s height to the breakout point at $0.0000116.
After a successful breakout at $0.0000116 on July 18, SHIB has managed to retest the pennant and move higher. This development is a bullish signal that the trend is favoring bulls. Now, investors can expect Shiba Inu price to continue its ascent to the forecast target at $0.0000154.
However, during this climb, SHIB bulls need to overcome the $0.0000139 hurdle.
While things are looking up for the meme coin, a reversal in Bitcoin price could harm this bullish sentiment. Under these circumstances, if SHIB produced a daily candlestick close below the $0.0000095 support level, it would invalidate the bullish thesis and potentially trigger a crash to the $0.0000082 barrier.