Do We Have Reason to Be Bullish About Shiba Inu (SHIB)?

Shiba Inu (SHIB) is exhibiting signs of choppy trading early on Monday, but encouraging fundamental developments could lend it some support into this week. At the time of writing, SHIB/USDT is trading at around $0.00000675.

The memecoin based on Dogecoin experienced a sharp surge, with its price strengthening by almost 9% in the past 24 hours, helped by the recent uptick in Bitcoin. The leading cryptocurrency spiked by almost 10% to cross $39,000 but has since edged slightly lower. However, the bullish moves in the market leader helped improve the sentiment in the overall crypto market and supported the rise in Shiba Inu as well.

SHIB is also likely to enjoy some support from a recent post from crypto analytics firm Santiment about its outlook for the cryptocurrency. In the post, the firm notes that Shiba Inu was among the top three trending digital assets about a month ago but since then, helping its value surge to a high but since then, markets seem to have turned bearish about its prospects.

While this analysis seems somewhat downbeat, Santiment offers hope by adding that the number of active addresses holding SHIB still remain high. In addition, the digital asset remains among the top ten most active coins on the Ethereum network.

Key Levels to Watch

On the four-hour chart of SHIB/USDT, there is some hope for a turnaround in the recent bearish mood, with the smaller moving averages and technical indicators MACD and momentum suggesting a bullish bias. The price sits a little below the pivot point at 0.00000703 and a break above this can reinforce the uptrend.

If the price breaks above the pivot, watch out for resistance at 0.00000854 and 0.00001024. However, if the crypto market sentiment sours, Shiba Inu could see its price drop down to test support at 0.00000533 in the near-term.