- SHIB closed above its 20-week moving average for the first time in two months, signaling a shift in trend.
- The token broke a bearish trendline from May, clearing resistance and opening space for a retest of April’s highs.
- Bollinger Bands are widening, reflecting a return of volatility as SHIB targets the upper band near $0.00001550.
Shiba Inu (SHIB) has moved into a critical technical position after closing its latest weekly candle at $0.00001334. The close places SHIB just above a key demand zone between $0.00001200 and $0.00001300, a region that has repeatedly held as support over the past several months.
This action follows a positive week with an increase of close to 13% where the reasoning comes by a keen rebound based on the lower limit of the assist band. The close also indicates that SHIB is already above the 20-week moving average after eight weeks, which is an indication of a possible change in market structure.
According to Bollinger Bands, Volatility is being constructed.
The Bollinger Bands, which have undergone a long period of consolidation by narrowing, are now starting to expand once again on the weekly charts. This structural shift usually indicates the resurgence of volatility, although the momentum had been low. Its upper band is at about 0.00001554, and should SHIB keep trending upwards, the said unit could be used as a short-term price target.
Traders often watch for this type of movement within Bollinger Bands to identify breakout opportunities. SHIB’s pattern shows an early-stage setup that historically has led to increased price activity once confirmed by volume and follow-through buying.
Short-Term Resistance Cleared, Focus Shifts Upward
SHIB has also surged past a downward trendline that had topped since May, taking an important short-term obstacle. The breakout eliminates the past blockage and readies the token to test the highs of April at the level of around $0.00001550. Unlike earlier attempts, the current advance is forming from a higher low, indicating improving structure and stronger underlying support.
Additionally, there is less resistance within the mid-band region now that SHIB has regained the 20-week average. This could support further upward movement if buying pressure holds.
A continuation of this trend will depend on sustained momentum and trading volume. If bulls maintain control and reinforce the breakout, SHIB could post one of its cleanest rallies in recent months. The price remains within reach of the upper technical boundary, and overall conditions suggest potential for a 20 percent increase if momentum is preserved.
