The meme coin market is edging higher and tracking Bitcoin (BTC) after the king coin surged to $88,000 for the first time in three weeks. At press time, the total meme coin market cap had increased to $50 billion, after gaining by 3%. However, Shiba Inu price has yet to benefit from the uptrend, considering that it had dipped by 2.8% to trade at $0.0000123 at press time.
Despite this negative momentum, a top analyst predicts a 17x rally for SHIB value today after it entered a “buy zone.” If there is a surge in demand at this level, will the Shiba Inu price finally break out from the current consolidation range and rally higher? Let’s find out.
Analyst Forecasts 17x Rally for Shiba Inu Price
According to popular crypto analyst CryptoELITES, the Shiba Inu price is currently sitting in a strong buy zone, suggesting that a strong upward move is on the horizon. This analyst forecasts a rally of between 14x and 17x for this top meme coin.
If SHIB were to surge by 17x from its current price of $0.0000123, it would surge to $0.00021, while a 14x rally would push the meme coin to $0.00018. However, for this bullish thesis to hold, Shiba Inu price needs to defend support at the lower descending trendline.
The upward rally will be confirmed if SHIB flips resistance at the 0.618 Fibonacci level of $0.00003. After flipping this level, it will set the stage for a rally past $0.000085, after which the meme coin will be on the path to erasing one zero.
If demand rises after Shiba Inu enters this buy zone, the meme coin might face a supply squeeze, as data from Santiment shows that the amount of SHIB supply in exchanges has plummeted to record lows. The high demand and low supply support the bullish Shiba Inu price prediction, making it likely that an all-time high might be on the horizon.
Shiba Inu Open Interest Soars 43% in Two Weeks
Data from Coinglass shows that the Shiba Inu open interest has surged by 43% in the last two weeks. At press time, the meme coin’s open interest stood at $135M, from around $94M less than two weeks ago.
When the open interest is increasing, like it is now, it indicates that futures traders are opening new positions on Shiba Inu amid optimism that it is about to record a strong trend. This is also another factor that supports the bullish thesis around the Shiba Inu price and why a 17x rally is likely. However, the increased leverage activity around SHIB could also spike the meme coin’s volatility.
To sum up, the bullish prediction shared by a popular analyst around Shiba Inu, and the rising open interest hint towards an upcoming rally for this meme coin. However, this price rally will depend on SHIB attracting demand from buyers.
The post Shiba Inu Price Sits in ‘Buy Zone’ Could 17X, Says Analyst appeared first on CoinGape.
