The cryptocurrency Shiba Inu (SHIB) has recorded a 15% rebound from its weekly low, which is a result of the overall uptick in the crypto market and the formation of a technical double bottom pattern.
SHIB Recovery and Double Bottom Pattern
Shiba Inu recorded a 15% rebound from its weekly low on June 25, trading at $0.00001175. This rise reflects a broader uptick in the crypto market after SHIB had dropped nearly 35% from its May high of $0.00001765.
Technical indicators are emerging positively, as the price formed a double bottom pattern at $0.00001025. This type of formation is typically seen as a bullish reversal.
Target Mark Above $0.00001765
The height difference between the low and neckline of the double bottom is $0.0000074. If the price clears the neckline, it suggests a target of $0.000025, marking an estimated gain of 115% from current levels. The first major resistance remains at the neckline, which is 52% higher than SHIB's current price.
Ongoing Whale Selling Against Positive Outlook
While technical indicators show a bullish structure, data from Santiment reveals that large holders have continued to reduce their positions. Addresses holding between 100 million to 1 billion SHIB now possess 17.92 trillion tokens, down from 18.8 trillion last December.
Regardless of whale activity, the optimistic sentiment in the crypto market might further bolster SHIB's prospects. The limited supply of Bitcoin on exchanges, relief from geopolitical issues, and potential changes in U.S. monetary policy could provide added momentum.
Current technical indicators and the overall state of the cryptocurrency market create favorable conditions for Shiba Inu's recovery, despite pressures from major holders.
