Key Takeaways
- After trading between $0.000010 and $0.000014 throughout April, SHIB may exit consolidation with bullish momentum.
- A confirmed breakout above the neckline at $0.000011 supports the potential trend reversal from bearish to bullish.
- A drop in the 90-day Mean Dollar Invested Age (MDIA) suggests previously idle SHIB is now circulating.
- If SHIB breaks the $0.000015 resistance, the next target could be the 0.618 Fibonacci level around $0.000019.
For most of April, Shiba Inu’s (SHIB) price traded between $0.000010 and $0.000014. But as a new month begins, the meme coin could be set to exit this consolidation phase.
This potential price action contradicts the cryptocurrency’s performance during the first quarter of 2025.
In this analysis, CCN reveals the technical indicators supporting this move and what could happen if SHIB’s price fails to follow this thesis.
SHIB Ready to Break Resistance
On the daily SHIB/USD chart, the memecoin formed an inverse head and shoulders pattern. The inverse head and shoulders is a bullish reversal pattern that typically forms after a downtrend, indicating that a shift to an uptrend may be underway.
It is, however, important to note that the pattern validates the trend after it breaks above the neckline. For SHIB, the neckline stands at $0.000011, which the price has rallied above.
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Besides that, the green line of the Supertrend indicator has remained firmly below SHIB’s price, signaling a buy opportunity. This marks a shift from the previous sell signal, where the red Supertrend line stayed above the price for an extended period.
In line with that, the Money Flow Index (MFI) reading has climbed to 73.79, which indicates rising buying pressure.
If this trend continues, SHIB’s price could breach the resistance at $0.000015 in the short term.
Circulating Coins Fuel Outlook
A look at the Mean Dollar Invested Age (MDIA), the average age of all coins on a blockchain, weighted by the average purchase price, also supports this move.
With the metric, one can tell if the next price movement might be bullish or bearish. When the MDIA rises, holders choose not to move their long-held coins.
In most cases, this behavior causes the price to stagnate. But in this case, the 90-day MDIA has dropped from 50.37, indicating that previously dormant coins are now entering into circulation, which is a bullish sign.
Should the trend continue, SHIB’s price will likely trade higher.
SHIB Price Analysis: Higher Values
Looking at the daily chart again, CCN observed that the 12-day Exponential Moving Average (EMA), in blue, has risen above the 26-day EMA (orange). This position indicates a bullish crossover on the Moving Average Convergence Divergence (MACD).
Also, the MACD reading is in the positive region, indicating bullish momentum. Should this trend continue in the short term, SHIB’s price might break the $0.000015 resistance as stated initially.
If validated, the next move for the memecoin could be a run toward $0.000019 at the 0.618 golden pocket ratio.
However, a breakdown below the $0.000015 neckline could invalidate this bias. In that scenario, SHIB’s market value might decline to $0.000010.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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