Shiba Inu (SHIB) recently experienced a price drop, causing concern among investors. The cryptocurrency’s price fell by 3% on a daily scale and 20% on a monthly basis, currently trading at around $0.00002734. While this decline may be discouraging, many analysts believe that a bullish trend is on the horizon.
Analysts’ Bullish Predictions
Despite the recent price drop, analysts remain optimistic about Shiba Inu’s future. Analysts such as Rekt Capital and Jake Gagain predict a potential bull run for SHIB. Rekt Capital noted that SHIB’s current price is at a critical level, similar to early 2022 when the asset was rejected for further gains. However, this time may be different, with Rekt Capital predicting a triple-digit price increase if the token can overcome the important resistance zone. Jake Gagain also expressed bullish sentiment, warning against underestimating the potential of the second-largest meme coin by market capitalization.
Support for a Potential Rally
Several factors support the possibility of a bullish trend for Shiba Inu. One key indicator is the significant outflows from exchanges in the past week. According to CryptoQuant, there has been a massive shift of Shiba Inu from centralized entities to self-custody methods, reducing immediate selling pressure. Additionally, other positive developments such as the burning rate and the advancement of the layer-2 scaling solution Shibarium could further boost SHIB’s price.
While the recent price drop may have caused concern among investors, analysts remain optimistic about Shiba Inu’s future prospects. With key resistance levels being tested and significant outflows from exchanges, there is a strong possibility of a bullish trend for SHIB in the near future. Investors should closely monitor these developments and consider the potential for a price rally in the coming weeks.