#BinanceHODLerBANANA #BinanceTurns7 #SOFR_Spike #MtGoxJulyRepayments #EarnFreeCrypto2024 Shiba Inu (SHIB) fell over 3% in a week, but analysts predict a potential trend reversal.In the past week, Shiba Inu (SHIB) has experienced a decline, falling over 3% in just seven days and more than 4% in fourteen days. However, despite this downward trend, some analysts predict a potential trend flip.Jonathan Carter, a chartist on the X platform, recently highlighted this in his analysis, suggesting SHIB is trading within a descending channel and may soon reverse its trend.
Carter’s chart illustrates that SHIB has been trading within a descending channel since early April, characterized by lower highs and lower lows, indicating a bearish trend.
Notably, the chart identifies a strong support zone around $0.0000100 and a resistance zone around $0.00004500. Notably, SHIB is currently nearing the descending support line, which has historically provided a bounce-back in price.
Carter suggests that a breakout above the 50-day moving average (MA 50) and the descending resistance line could trigger a significant rally toward the $0.0000380 target. A surge to the $0.0000380 target would represent an approximate increase of 120.29% from SHIB’s current trading price of $0.00001725.
Technical Indicators Are Bullish
Supporting Carter’s analysis, data from TradingView shows that SHIB is near the lower Bollinger Band, indicating it might be in an oversold condition. Prices typically revert to the mean, suggesting potential upward movement.
Further, the MACD histogram shows a reduction in bearish momentum, and the MACD line is approaching the signal line from below, indicating a potential bullish crossover.
Additionally, the Accumulation/Distribution (Acc/Dist) line has remained stable, suggesting that despite the price decline, there has not been significant selling pressure. This stability indicates that investors are holding onto their SHIB tokens, anticipating a price recovery.
Market Sentiment and Long-term Confidence
Adding to this bullish sentiment, Santiment data reveals a clear increase in the number of Shiba Inu holders over time, peaking in late April. Despite price fluctuations, the number of holders has remained relatively stable, indicating continued interest and belief in SHIB by the investor community.
This stability suggests a strong base of long-term investors, which is positive for SHIB’s potential, even during periods of price decline. The price volatility visible aligns with the descending channel identified by Carter, with the recent stabilization in the number of holders potentially acting as a foundation for a price recovery.
Is Shiba Inu a Worthy Investment?
Other analysts have observed similar bullish indicators. Aaron Arnold, founder of the Altcoin Daily channel, highlighted SHIB among meme coins worth investing in during this bull market.
In a recent video, Arnold, alongside meme coin expert Rodney, discussed the significance of meme coins, emphasizing their potential for life-changing gains. Rodney argued that meme coins, despite being speculative, can achieve substantial market caps, as seen with Dogecoin and SHIB in 2021. He noted the current trend of focusing on community, narratives, and content, making meme coins more sustainable and attractive.