Shiba Inu extended its rally on Monday, reaching its highest level since mid-November. The token has surged nearly 50% from its yearly low. Momentum has shifted fast. As a result, analysts now expect further upside in the coming weeks, driven by strong technical signals and improving market sentiment.
Analysts Flag Rare Bullish Pattern on SHIB Charts
Shiba Inu price shows a clear bullish setup on the daily chart. Popular analyst Javon Marks highlighted a bullish divergence pattern on X. This signal forms when momentum indicators rise as the price consolidates. Historically, it often precedes strong upside moves. Mark’s projects a 246% rally toward $0.00003 if the pattern holds.
At the same time, SHIB has formed a descending wedge. This structure consists of two falling trendlines that converge. Such patterns usually resolve to the upside. Price action now trades near the wedge’s upper boundary. That position increases breakout odds.
Further confirmation comes from trend indicators. SHIB has flipped above the Supertrend indicator for the first time since July. During the last similar move, the price jumped over 40%. In addition, the token reclaimed the 50-day EMA. This level often acts as a key trend filter. Momentum indicators also support the move. RSI continues to rise, while the Stochastic Oscillator points higher.
Based on these signals, analysts anticipate $0.00001484 as the next level of resistance. That level marks the September high. It sits about 52% above current prices. However, the bullish case weakens if the SHIB price falls below $0.00000684. That support remains critical.
Meme Coin Rally and Market Sentiment Fuel Upside
Broader market strength adds fuel to SHIB’s rally. Bitcoin and major altcoins continue to rebound. Investors have embraced dip buying, driven by the January effect. This shift has lifted risk appetite across crypto markets.
Derivatives data support the bullish view. SHIB open interest has climbed sharply. It now stands near $145 million, the highest level since October. Open interest bottomed near $60 million in November. The steady rise suggests growing trader conviction rather than short-term speculation.
Market sentiment has also improved. The Crypto Fear and Greed Index has rebounded to 42 from a December low of 10. Meme coins often perform well during periods of rising optimism. Traders tend to rotate into high-beta assets as confidence returns.
The broader meme coin sector confirms this trend. Tokens like Pepe, Dogwifhat, and Bonk have posted strong gains. Combined meme coin market capitalization now exceeds $52 billion. That inflow supports SHIB demand.
In the short term, price volatility is likely to persist. Still, momentum favors the bulls. Technical structure, sentiment, and sector strength now align. If buyers defend key support, SHIB could attempt a larger breakout soon.
