Shiba Inu price prediction: The crypto market turned bullish on Wednesday, changing the bearish outlook from the beginning of the week. Shiba Inu (SHIB) alongside other cryptos trimmed gains following last week’s breakout above $0.00001.
The sweep-through liquidity at $0.0000092 coupled with improving sentiment due to the Federal Reserve’s decision to keep interest rates unchanged while anticipating at least three rate cuts in 2024 catalyzed the climb above $0.00001.
Cryptocurrency majors Bitcoin briefly broke above resistance at $43,000 but failed to rise past $44,000 while Ethereum, trading higher on the day by 4.4% at $2,280 confirmed to investors that it has the potential to keep the uptrend intact.
The total market cap increased to $1.68 trillion bolstered by a widespread bullish market structure, especially among altcoins like Bonk (BONK), Injective, and BitTorrent, all highlighted in the crypto price prediction for December 14.
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Shiba Inu Price Prediction: Is SHIB Ready To Springboard?
After briefly rising above the pivotal $0.00001 level, Shiba Inu price encountered headwinds, leading to a sudden correction. Despite the support at $0.0000096 successfully tested, SHIB is yet to build enough momentum for another recovery attempt beyond $0.00001.
A buy signal from the Moving Average Convergence Divergence (MACD) indicator may compel traders to keep entering new long positions and in the process provide the much-needed liquidity for a stronger breakout.
Shiba Inu price prediction chart | Tradingview
In case overhead pressure below $0.00001 intensifies, traders may look toward the 20 Exponential Moving Average (EMA) (in blue) for support. The 50 EMA (in red) slightly below will keep support at $0.0000096 intact but if push comes to shove and a bigger sell-off ensues, Shiba Inu may revisit the support from earlier in the week at $0.0000092.
In the daily time frame, Shiba Inu holds above a very important moving average—the 20-day EMA. Often when an asset holds above this level, a breakout tends to follow. However, a sell-off would almost always occur if the 20-day EMA is lost as support.
Shiba Inu price prediction chart | Tradingview
With that in mind, it may be prudent to start entering long positions in SHIB to capitalize on the move above $0.00001.
The Relative Strength Index (RSI) reinforces the growing bullish sentiment with a trend strength of 61. As long as the RSI can recover toward the overbought region, Shiba Inu would be primed for a solid breakout above $0.00001.
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