A well-known cryptocurrency analyst issued a bullish prediction for Shiba Inu SHIB/USD, coinciding with a significant jump in the token’s burn rate over the last 24 hours.
What Happened: On Sunday, widely followed X personality Kevin observed a “rounding bottom formation with an inverse head-and-shoulders” pattern for the popular dog-themed meme coin, prompting a massive 50% price increase projection.
For those unaware, inverse head-and-shoulders is a key chart pattern that signals a potential shift from a bearish to a bullish trend.
Additionally, Shiba Inu’s Moving Average Convergence Divergence (MACD) indicator flashed a buy signal, according to data from charting platform TradingView.
The MACD is primarily used to gauge an asset's overall trend. When the MACD line crosses above the signal line, it is interpreted as bullish.
In another development, the coin’s burn rate spiked 389% in the last 24 hours, with nearly 6.3 million SHIBs going up in smoke and exerting more deflationary pressure on the cryptocurrency.
Why It Matters: The second-largest meme coin by market valuation has been on a roll over the month, gaining over 32%.
An unknown whale recently withdrew 105.9 billion SHIB, valued at $1.99 million, from cryptocurrency exchange Coinbase, signaling strong accumulation and anticipation for future price rises.
Kevin’s prediction aligns with the current bullish trend in the cryptocurrency market. Leading cryptocurrencies like Bitcoin BTC/USD and Ethereum ETH/USD have rallied sharply in recent days, boosting expectations for new all-time highs.
Price Action: At the time of writing, SHIB was exchanging hands at $0.00001897, up 1.98% in the last 24 hours, according to data from Benzinga Pro.
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