Shiba Inu Is About to Break Out? Rare Technical Pattern Signals 500% Gain
Despite the recent correction, technical signals and on-chain data suggest that SHIB could be preparing for a spectacular rally.
Shiba Inu (SHIB), the market’s top meme coin, is generating fresh interest among investors as multiple technical signals point to a strong rally in the coming weeks. After falling nearly 10% in late May, SHIB is now forming an extremely rare reversal pattern – Inverse Head and Shoulders – which signals that a strong uptrend could be on the horizon.
Bounce Opportunity from Reversal Technical Structure
According to technical analyst Javon Marks, the SHIB price chart is completing the “right shoulder” of an Inverse Head and Shoulders pattern – a technical indicator that often appears before sustained price increases. If this pattern is confirmed, SHIB could hit $0.000081 – representing a more than 500% increase from its current price range.
Currently, SHIB is trading around $0.00001317, after a 3.5% increase on May 31. Although it is still below the Bollinger Band (BOLL) moving average resistance level – $0.000014 – the rapid recovery from the low of $0.00001234 is giving hope to the bulls.
Divergence signal: the market is unclear
However, not all indicators agree with the bullish thesis. The Bull-Bear Power (BBP) indicator, which measures the strength between buying and selling forces, remained in the negative zone as of June 3, indicating that selling forces still have a slight advantage.
However, the fact that SHIB price has broken above the lower Bollinger Band and is approaching the midline could indicate that a recovery momentum is forming. It is important for the bulls to maintain the bullish momentum and break the key resistance zone around $0.000014 to confirm the completion of the technical pattern.
Market sentiment and SHIB capitalization
After a strong recovery from May 8 to 15, the SHIB community remains positive, especially as on-chain metrics show a slight increase in wallet activity. According to CoinGecko data, SHIB's current market capitalization is $7.77 billion, continuing to maintain its position among the top meme coins in terms of value globally.
Whether Shiba Inu can trigger a strong bullish cycle depends on the confirmation of the technical pattern and the market's reaction to key resistance zones in the near term.