SHIB Bulls Break Bear Rule; Over 4% Gain Sparks Bullish Rally

After a rough start to the day, bulls in the Shiba Inu (SHIB) market were able to end the bear rule seen in the early hours after establishing support around $0.00001038. During this market upturn, the SHIB price reached a 24-hour high of $0.00001108 before encountering severe resistance. This bullish domination, however, persisted as of press time, with SHIB valued at $0.00001088, a 4.38% increase.

If this positive sentiment continues, the $0.00001108 resistance level may be breached, and the next resistance levels may be at $0.00001150 and $0.00001200. Still, if market sentiment changes abruptly, SHIB may experience a correction and drop back to support levels at $0.00001050 and $0.00001000.

Owing to the spike and traders’ expectations of a bull rally, traders jumped into the market, generating a 4.50% increase in market capitalization to $6,417,519,153. The 24-hour trading volume increased by 31.73% to $329,251,407, indicating that investors are optimistic about the market’s future development potential and are aggressively buying and selling SHIB.

SHIB/USD 24-hour price chart (source: CoinMarketCap)

In the 2-hour price chart, the Bollinger bands are widening, with the upper band at 0.00001115 and the lower band at 0.00001043, indicating that market volatility is increasing and that the price may continue to vary within this range.

Traders can try buying “near the lower band” and selling “near the higher band” while carefully watching any substantial price changes that may break out of this range and suggest a possible trend reversal.

Price action that goes above the signal line may suggest a bullish trend, while price action that travels below the signal line may indicate a negative trend. As a result, while utilizing Bollinger Bands as part of a trading strategy, traders should also pay attention to the signal line.

The Bull Bear Power (BBP) value of 0.00000003 and trending south indicates the bullish momentum is fading. Traders should consider taking profits or tightening stop-loss orders to safeguard their gains.

SHIB/USD chart (source: TradingView)

The bullish momentum in SHIB is gaining strength, with a Chaikin Money Flow (CMF) rating of 0.03 and heading upwards, suggesting more buying pressure than selling pressure. In the near term, this might lead to a further rise in the price of SHIB.

This action increases traders’ trust in the SHIB market and may attract additional investors, increasing demand for SHIB tokens and possibly pushing their prices even more.

The TRIX reading of -0.97 is approaching the positive territory, indicating that the SHIB market is about to start a bullish trend. This motion might raise investor interest and raise even higher SHIB tokens.

SHIB/USD chart (source: TradingView)

SHIB’s bullish momentum is gaining strength as traders eye resistance levels, leading to increased demand and potential for further price increases.

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