Shiba Inu (SHIB) started its new weekly session in the green, extending its bullish decline from last week’s low of $0.00002058.
SHIB price reached an intraday high of $0.00002907 on October 11, representing more than 40% of the gains from the ongoing recovery trend. However, the Dogecoin-inspired cryptocurrency meme expected a sustained range against the technical resistance level at around $0.000002978, as shown in the chart below.
SHIB/USDT 4-hour price chart. Source: TradingView
Is recovery extended forward?
The Shiba Inu chart also shows the intent of the traders to collect the SHIB tokens when the price is testing the 20-4H exponential moving average (20-4H EMA; green wave) as support.
On October 7, for example, the cryptocurrency crashed more than 40% when Shiba Inu dumped between 1 million and 10 million SHIBs over 31 billion tokens, the largest in six months, according to data from Santiment. However, the price recovered when traders started collecting SHIB tokens around 4-20 hours from the exponential moving average.
In addition, the ongoing reversal of Shiba Inu was based on a possible association between 1-10 million pranks and SHIB title costs. Sentiment has noticed that the price of Shiba Inu rises every time multimillionaires dispose of SHIB, as shown in the chart below.
Distribution of Shebaa Inu supplies. Source: Santiment
This indicates the intention of the small retailers to absorb the huge sales.
Moon Mood in Retail
According to Google Trends, the bullish decline in the SHIB market coincided with an increase in internet searches for the keyword Shiba Inu.
Data from the internet shows the trend of Shiba Inu rising in the US over a 12-month interest rate period, indicating rising interest in retail. At 92, the trend is approaching a peak of 100, most recently in the second week of May. This indicates that more and more Internet users are looking for information about Shiba Inu.
Google searches for “shiba inu”. Source: Google Trends.
However, there were only 18 searches on the internet for the keyword “how to buy shiba inu” in the same period. However, interest has grown by 260% compared to last week.
A story about two indicators
Technically, SHIB’s recent bounce appears to have canceled the bearish setup discussed by Cointelegraph in one of its previous reviews.
On the topic: Shiba Inu is now among the top 20 cryptocurrencies, and the SHIB price has gone up 300% in 9 days.
In particular, SHIB price broke the descending ascending triangle pattern, otherwise it is the descending descending triangle pattern, as it closed above the upper trend line of the structure with increased trading volume. While the outbreak is still awaiting confirmation, it has increased the likelihood that it will continue.
The reason for the long rise is the presence of an impromptu bullish pennant, which usually increases the price by the same amount as the previous upward movement. In other words, a SHIB breakout on the bullish pennant could push the price towards $0.00004713.
SHIB/USDT 4-hour price chart with a bullish pennant. Source: TradingView
Meanwhile, if the price returns within the range of the pennant, there is a risk of reactivating the descending triangle layout. Meanwhile, SHIB can expect a correction towards $0.00002195 with a subsequent negative breakout towards $0.00001000.