- SHIB has bounced 55% from its recent lows, with the price reaching 0.00001102.
- Whale activity indicates a significant accumulation, with over 1 trillion SHIB being moved off exchanges in early October.
- SHIB’s price action suggests a potential 100%+ move if it breaks out of its wedge pattern.
Shiba Inu (SHIB) has shown a remarkable 55% rebound from its recent crash, sparking optimism among investors for the upcoming quarter. After falling to its lowest point of 2025 at $0.000007738, SHIB has surged back to approximately $0.00001102. This sharp recovery has drawn attention as investors anticipate that the memecoin market may experience significant movements in the fourth quarter.
Shiba Inu Whale Activity Signals Accumulation
One key indicator of SHIB’s potential for further gains is the behavior of large holders, commonly known as whales. Data from Cryptoquant reveals that a significant amount of SHIB has been withdrawn from exchanges, with more than 600 billion SHIB moved off between September 22 and 26. These movements suggest that investors are accumulating the token rather than selling it.
Additionally, on October 11, nearly 1 trillion SHIB were pulled from exchanges, marking a clear buying opportunity during the market dip. Investors appear to be taking advantage of the price drop by moving their holdings into long-term storage, signaling confidence in SHIB’s future performance.
Technical Indicators Point to Possible Breakout
From a technical standpoint, SHIB’s price chart suggests that a potential breakout could be on the horizon. The cryptocurrency has formed a descending wedge pattern after a lengthy pullback, with the price recently bouncing off a key demand zone between $0.0000090 and $0.0000100. This pattern indicates that buyers are beginning to return, and SHIB could break out of the wedge, potentially pushing the price toward the 0.000022–0.000032 range.
The Relative Strength Index (RSI) has climbed from oversold levels, signaling a shift in momentum. Additionally, the Moving Average Convergence Divergence (MACD) is starting to flatten, indicating that bearish pressure is weakening. If SHIB can maintain its position above the demand zone, further upward movement could be expected, with some analysts forecasting a price increase of 100% or more.
Risks and Challenges for SHIB
Despite the promising technical indicators, analysts caution that SHIB still faces several challenges. The token’s deflationary effect has been significantly reduced due to a 99% drop in its daily burn rate. Furthermore, SHIB’s market momentum has been relatively flat, and analysts suggest that a new narrative or catalyst will be required for sustained growth.
SHIB’s recovery may also be hindered by the large supply of tokens still in circulation, as well as previous structural issues in its ecosystem. While the recent price action is encouraging, investors should remain cautious and closely monitor the token’s performance in the coming weeks.
Disclaimer:Â This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
