The Shiba Inu ($SHIB B) token appears poised for an exciting future, but short-term fluctuations may precede its next big rally. While the weekly trend remains bullish, technical analysis of the daily chart suggests the possibility of a temporary dip before SHIB resumes its upward trajectory. According to the wave count, SHIB has completed the first phase of a five-wave rally and is now experiencing a corrective phase within wave two. This pullback is likely to continue into wave C of the correction, with an expected support level around $0.0000205, aligning with the 0.5 Fibonacci retracement.
Despite the current pullback, longer-term outlooks remain optimistic. Following this correction, $SHIB is anticipated to resume its bullish trend with a target of at least $0.0000575 in wave three. Technical indicators, such as the RSI and MACD, are currently showing neutral readings. While both are declining, they remain above key bullish thresholds, signaling that the current retracement could be part of a larger upward trend.
On the shorter-term six-hour chart, the price action is contained within an ascending parallel channel, a pattern typically associated with corrective movements. The SHIB price has already been rejected twice at the channel's midline, reinforcing the possibility of a price drop. A breakdown from this channel would confirm the continuation of the correction, with the price potentially reaching the $0.0000205 support level before a reversal.
After hitting the anticipated support, $SHIB
is expected to bounce back, resuming its bullish momentum and aiming for higher price levels. In conclusion, although a short-term dip is expected, the overall market structure remains positive, setting the stage for future gains.