Shiba Inu (SHIB) could be gearing up for an explosive 493% rally to the $0.00004 territory if it can register a confident weekly close above the middle band of the Bollinger Bands indicator.
SHIB registered five consecutive weekly green candles from mid October to early November amid the market-wide growth. However, following a surge to $0.00000965, Shiba Inu has underperformed over the past two weeks, with the bears looking to trigger a retracement of the previous gains.
The middle band of the Bollinger Bands indicator is a simple moving average (SMA) that represents the prevailing market trend. Prices above the middle band suggest an uptrend, while prices below indicate a downtrend. Crosses above or below the band can signal potential trend changes.
The first time this close occurred was in early October 2021 when SHIB closed the week at $0.00002613 while the middle Bollinger band stood at $0.00000851. Shortly after recording this close, SHIB rallied 939% from the start of October to the ATH of $0.00008845 at the end of October 2021
Shiba Inu Bollinger Bands 011338
Following the all-time high, Shiba Inu continued to decline until it dropped below the middle band in January 2022. The asset remained underneath the band until January 2023 when it recorded a second confident close. Following this second close, SHIB surged 47% to this yearâs peak of $0.00001575.
Though SHIB recently registered a similar bullish close above the middle band, this was not a confident move. The asset is now looking to replicate a confident close similar to the January move. Should this occur, SHIB could be looking to register a 493% increase from its current position.
Shiba Inu Bollinger Bands 2 011345
Shiba Inu Bollinger Bands
This figure is an average of the two surges recorded in October 2021 and February this year. Shiba Inu currently trades for $0.00000833. A 493% increase would result in a $0.0000410 price. The last time SHIB saw the $0.00004 price territory was in November 2021.
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