Three Reasons Why Shiba Inu (SHIB) Could Be Set for a Major Rally

1. Bullish Cup-and-Handle Pattern

First strong indicator: The “cup-and-handle” pattern forms in the price chart of SHIB. It is a bullish chart pattern shaped like a teacup, followed by a downward sloping “handle.” To traders, this is generally a sign of gains to come, with the handle consolidating the stock before the breakout.

Here’s what to know about the potential SHIB breakout:

• Current Stage: SHIB is in the handle phase, with resistance at $0.00002032.
• Breakout Potential: A confirmed breakout could target $0.00003545, representing a 90% increase.
• Timeline: This breakout might occur in early 2025, with March 2024’s high of around $0.00004567 serving as additional resistance.

If SHIB can move past the handle resistance, it may quickly rise to these levels, bringing substantial gains for investors.

2. Capital Rotation from Dogecoin (DOGE)

Another factor hinting at a possible SHIB rally is the potential shift in capital from Dogecoin. Presently, DOGE’s Relative Strength Index is above 70, an area when an asset is said to be “overbought” and hence may see profit-taking. On its part, SHIB’s RSI is more neutral at 58.42, indicating more room for upward movement in price action with no immediate sell-offs.

Comparison of DOGE and SHIB RSI:

In addition, the SHIB/DOGE trading pair indicates oversold conditions for SHIB compared to DOGE. This imbalance could prompt a shift in trading volume from DOGE to SHIB, further driving SHIB’s value up. Historically, similar setups have led to gains between 30% and 150% for SHIB, which strengthens the case for a potential 90% upside.

3. Future Plans for a U.S.-Based Blockchain Hub

The Shiba Inu community has ambitious plans to establish a “Strategic Hub for Innovation and Blockchain” (S.H.I.B.) in a U.S. city. This initiative aims to create a global center for blockchain development, bringing more attention and utility to the Shiba Inu ecosystem.

Several factors make this project exciting for SHIB investors:

• Development Focus: The hub could foster blockchain innovation, likely enhancing SHIB’s use cases.
• Political Climate: A potential second Trump administration may focus on economic growth and deregulation, which could boost blockchain projects like S.H.I.B.
• Speculative Value: Increased attention to SHIB’s ecosystem may attract more investors, positively impacting SHIB’s price.

In summary, these three factors—technical patterns, capital rotation potential, and plans for a blockchain hub—create a favorable outlook for SHIB. While it’s impossible to guarantee a rally, these signals indicate that SHIB could experience a substantial price surge soon.