Will SHIB Break Key Resistance and See a Major Price Jump?

• Shiba Inu (SHIB) tests a key resistance level, signaling a potential price breakout.
• Bollinger Bands show SHIB’s volatility may increase, with a move toward $0.00002 possible.
• A sharp decline in token burns could pressure SHIB’s price movement in the short term.

Shiba Inu (SHIB) could be on the brink of a major price move. From a technical perspective, the coin is experiencing amplified volatility. The Bollinger Bands, an effective tool for analyzing market trends, indicate that SHIB’s price movements may become more volatile soon. If it crosses the current resistance level, the coin could experience a strong upward move.

At press time, SHIB is in the middle of a test of a significant resistance level of $0.000017. After several days of accumulation, SHIB has repeatedly failed to break this level. Notably, this resistance aligns with the 20-day moving average of the Bollinger Bands. The moving average is a significant point regarding the price direction in the near term. If SHIB breaks through this resistance level, it may set its sights on the upper Bollinger Band.

Profit Potential Ahead

As of press time, SHIB is trading at $0.00001667, showing a 0.34% increase over the past day. The upper Bollinger Band serves as a potential profit target, 17.77% above SHIB’s current price. Reaching this level would confirm a bullish breakout as it surpasses major resistance. However, if the price touches the upper band, it may indicate an overbought condition, potentially leading to a reversal.

Related: Shiba Inu Burn Rate Soars – Will It Trigger a Breakout?

On the flip side, if SHIB fails to make the expected progress, it might start declining. The lower Bollinger Band is currently at $0.000014, which is 15.27% below SHIB’s current price. The movement towards the lower band means the instrument may be oversold, leading to a price bounce back. 

Shibburn Declines

However, the Shiba Inu community has not seen a significant rise in token burns. For the past 24 hours, only 708,198 tokens were burned, marking a 95.04% decrease from the previous burn rate. Over the past week, the burn rate declined by 20.77%, with 58,303,050 SHIB tokens burned.

SHIB is hovering around crucial levels, and a breakout in either direction could lead to a significant price movement. Traders are closely watching SHIB, as the Bollinger Bands suggest a major move is on the horizon. 

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