Shiba Inu has been all set to prepare itself for a bullish breakout as a falling wedge pattern seems to be coming onto itself. The price of the cryptocurrency has been trending at a far lower area which has been defined by two major contracting trendlines while accompanying a major decline in its trading volume.
This would definitely that investors have been pretty less concerned about the downtrend that has been all over the place. As a result of this, falling wedges usually provide for an ideal springboard for an upside break once the price does end up closing above the upper trendline of the structure. On the 14th of January, SHIB managed to show similar signs after a topside break.
Shiba Inu Has Been Seeing A Major Increase
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Interestingly, the token ended up being briefly closed above the falling upper trendline of the wedge, where it hit an intraday high of around $0.00003290. The upside move did result in quite a raised anticipation that Shiba Inu would be continuing its earlier trend in the coming sessions, with analysts from Fiery Trading noting that there was an ongoing bullish retracement at work across the entire crypto market which should ideally boost the upside bias of the altcoin further.
The analysts further mentioned that with the majority of the crypto market going through some pretty bullish moves, it would be quite natural for Shiba Inu to follow. The token was moving pretty close to the top resistance of the pattern so that a breakout might just occur pretty soon. One should be looking for a daily close above the resistance every day.
To put it simply, if the price of Shiba Inu breaks above the price resistance of $0.00003929, traders could end up placing major upside-down bets toward the level that would come at a distance that is equal to the maximum gap between the lower and upper trendline.