Shiba Inu has shown the possibility of a huge breakout. Its price has completed the formation of a rounding bottom pattern in the longer timeframe. SHIB’s rounding bottom pattern spans a period of 8 months, starting from March to December 2024.
The pattern could lead to a series of breakouts that could first take SHIB to $0.000045, its highest point in 2024, and then to $0.000067.
$0.000045 is Coming Soon
The first target of $0.000045 seems imminent after a breakout above $0.000035. SHIB failed to make this breakout in the second week of December 2024 because the markets corrected after Bitcoin’s profit booking (by crypto miners).
However, the RSI at 66 and the altcoin season index show that SHIB may reattempt $0.000035 soon. Another indicator, the Bollinger Bands shows that Shiba Inu could retest $0.000035 due to an event called Bollinger Squeeze, which happened on Monday 21 Oct 2024.
Once $0.000035 breaks, SHIB would soon cross $0.000045 as well due to the ensuing momentum in its price.
Cycle High of $0.000067 in Alt Season 2025
It seems that Shiba Inu could reach $0.000067 which could become the highest point in its current cycle. At this point, SHIB would be just 24% away from its ATH of $0.000088.
Fundamental Factors Pushing SHIB Higher
Altcoin Season
The current markets are in the middle of an alt season. This alt season could grow even more intense than the current level of 83 (at press time) because of several impending decisions on Solana and XRP ETFs, and RWA-based partnership announcements.
Market Churning
Also, Solana memecoins have been losing markets, and we expect SHIB to gain at the expense of Solana-based memecoins and other such projects that are just based on hype.
Layer-2 Developments
Further, there is also the factor of layer-2s. Ethereum’s gas has again risen to 40 Gwei levels and it now costs a few cents on an L2 than using Ethereum which costs around $1.5.
Shibarium, the Shiba Inu-backed layer-2 project now sees a high rate of growth in user activity. To date, it has processed more than 629 million transactions in just over a year (launched Aug 2023).
The project has recently deployed its Cancun Hard Fork that aligns Shibarium L2 with Ethereum so that the latter can benefit from Ethereum Blobs. It is also aimed at improving burn rates in Shiba Inu.
Shiba Inu Beats Bitcoin by 70% Outperformance
Shiba Inu has been highly bullish since the start of this Bitcoin bull cycle and has gained a lot more than Bitcoin itself. Its gains have shown a spectacular performance of 192%, compared to Bitcoin’s 122%.
The main reason for this outperformance is the general euphoria around memecoins in 2024. After the pre-halving rally of 2024, memecoins took center stage in crypto markets and since then have outperformed all other crypto sectors like AI/Big Data, RWA and DeFi.
