Key Takeaways
- Shiba Inu has come a long way from its position as one of the most popular cryptocurrencies in the last bull run.
- The cryptocurrency has declined after hitting a yearly high of around $0.000045 recently.
- Shiba Inu has formed an ascending trendline in its weekly timeframe and could be in for a rebound.
- The only invalidation of this outlook would be a break below the $0.00001160 price level.
- SHIB has enough potential to rally further upward with developments and partnerships across its ecosystem.
Shiba Inu has always been very volatile, considering its status as a memecoin.
The cryptocurrency gained massive traction since its 2021 bull run, but soon began to decline as soon as the bear market hit.
SHIB has been through it all—market fluctuations, macroeconomic challenges, competition from other cryptocurrencies, and so on.
However, despite the recent declines, the SHIB community remains optimistic about its future.
Let’s take a look at whether or not SHIB can make a comeback soon.
Shiba Inu’s Price History and Recent Performance
Since the memecoin’s rise to fame during the previous bull market and the subsequent crash in the following bear market, the return of Bitcoin above the $60,000 mark has brought a much-needed boost to the current bull market.
SHIB managed to hit a high of $0.000045 sometime in December of last year.
However, its rally was short-lived as another market correction followed.
Shiba Inu lost momentum once again and crashed to the $0.00001536 price level, where it now sits.
Even despite Bitcoin’s $100,000 milestone, SHIB continues to struggle under pressure from its bears.
Additionally, despite the major partnership with the Ministry of Energy and Infrastructure of the UAE, SHIB continues to bide its time before rallying.
The question now remains: When will a SHIB rally come in?
Short-Term Price Prediction
The short-term trends show that SHIB is displaying a strong correlation to ETH, which has underperformed Bitcoin for years.
The cryptocurrency is likely to continue its consolidation until a significant change from the large-cap crypto market.
According to the SHIB weekly charts, the cryptocurrency is struggling somewhere around the 78.6% Fibonacci retracement level as shown above.
The RSI on this timeframe also shows that the bears are in control, even despite the memecoin being far from oversold conditions.
As far as outlooks go, there are currently no indications that SHIB might recover soon.
However, a multi-month ascending trendline has emerged on the weekly chart and could present some leverage for the cryptocurrency to rebound.
Historically when SHIB rebounds, it tends to do so strongly with an average price increase of around 200% for major rallies.
The only invalidation of this outlook would be a break below the $0.00001160 price level or a breakdown of this ascending trendline.
Long-Term Price Prediction For SHIB
All of the above goes without saying that if the bearish market conditions persist, SHIB could decline further.
The cryptocurrency might visit some of its lower lows from the previous bear market.
However, if a comeback enters the SHIB playbook, the cryptocurrency could trade between $0.00003 and $0.00004 within the year.
According to AI price predictions from CoinCodex, the cryptocurrency has enough potential to rally by 340% to a yearly high of around $0.00006799 in August of this year.
According to insights from analyst Raven Cartel, the next memecoin cycle will begin with a SHIB pump.
Shiba Inu is expected to rebound from its current lows in the weekly timeframe and target higher highs.
Analyst Javon Marks also predicts that SHIB is in the final stages of a “head and shoulders” pattern, and could be on the verge of a push by nearly 400% to the $0.000081 mark.
In the same vein, the next resistance wall that investors need to worry about with SHIB sits at around $0.0000225.
Does SHIB Have What It Takes?
The long-term growth potential for SHIB might be slightly shaky at this point. However, its future remains bright and will depend on factors like innovation and expansion in its ecosystem.
The Shiba Inu ecosystem will also need to establish more partnerships to boost the appeal of its native cryptocurrency.
This ecosystem, even with its beginnings as a memecoin, has evolved into a more utility-driven project with several services under its umbrella.
A great example includes the Shibarium L2, which aims to enhance scalability and reduce transaction fees for the Ethereum network.
Another is the Shiba Swap DEX and the Shiboshis NFT collection.
The Shiba Inu ecosystem is also working on metaverse development, which might play a huge role in its adoption rates.
If these initiatives gain traction and more institutional investors pile in, Shiba Inu might be In for a major rally to the upside very soon.
Will SHIB Rise Again?
Despite its issues, Shiba Inu remains one of the most widely recognized memecoins with a vibrant community.
However, its ability to make a comeback will depend on several factors.
If Bitcoin continues to consolidate or trend lower, SHIB could follow suit and visit fresh new lows.
On the other hand, if Bitcoin makes a comeback and breaks above the $100,000 zone once again, SHIB could benefit from the market-wide bullish wave that follows.
Additionally, SHIB could also benefit from ecosystem developments from Shibarium and its other major services.
At the same time, SHIB continues to struggle in terms of price with its declining adoption rates, competition from new memecoins on the Solana ecosystem, and so on.
Investors should monitor some of the key support levels before making any decisions.
