The meme-of-a-meme coin, Shiba Inu (SHIB), has been one of the top performers across the volatile cryptocurrency market this year. Compared to the U.S. dollar, SHIB has returned a whopping 86,300,000,000% since the start of 2021, as of October 30, 2021.
Despite Shiba Inu’s recent consolidation, SHIB has still shot up over 75% the past week. Millions of dollars worth of new capital flooded the meme cryptocurrency particularly in the period between October 24-28.
After its recent parabolic move, many Shiba Inu traders are trying to determine where the price action could be heading next. Let’s review the current state of SHIB’s chart along with potential bullish catalysts on the horizon.
Breaking Down Shiba Inu Chart
Looking at the daily chart, Shiba Inu is in a clear uptrend. The price action is being driven by heavy accumulation by investors who are anxious to not miss the next potential Dogecoin. Despite the recent pullback, investors have largely held onto their SHIB as shown by the accumulation/distribution line.
The ADX indicator shows that the bulls are firmly in control at Shiba Inu. The positive DI sits at 35, while the negative DI trends at 1.18. The signal line sits at a lofty 78.48, as of this writing. This tells us that the recent surge is backed by underlying strength and likely not a weak blow-off top.
Stochastics and MACD show us the underlying price momentum. SHIB’s recent surge sent stochastics into overbought territory. After a bearish cross took the stochastic out of the overvalued region, the indicator is now on watch for a bullish crossover and potential move back above the high-water level.
The moving average convergence divergence (MACD) shot up along with the price action during the last week of October. The MACD histogram strengthened significantly during the move and has seen three consecutive days of pullback, but its bullish posture remains.
SHIB: Potential Catalysts
Several recent catalysts have appeared for the Shiba Inu coin that could help propel the meme cryptocurrency even higher. Robinhood’s (NASDAQ: HOOD) potential listing of SHIB and AMC Theaters (NASDAQ: AMC) is considering accepting the cryptocurrency at its hundreds of theaters.
Robinhood (NASDAQ: HOOD) users continue to voice their demand to have the Shiba Inu coin listed on the popular investment platform. As of October 30th, the Change.org petition pressuring the platform to add SHIB had amassed over 400,000 people. Robinhood was a major beneficiary of the Dogecoin craze earlier this year but has been slow to adopt other dog-related cryptos. As Dogecoin volume has drastically declined, Robinhood has seen a sizable hit to revenue as a result. While there is no definitive answer yet, can Robinhood really afford to potentially pass on SHIB?
AMC, the world’s largest movie theater chain, is considering adding Shiba Inu to its list of supported cryptocurrencies across its hundreds of locations. The chain is currently setting up capabilities to support Bitcoin, Ethereum, Litecoin, and Dogecoin transactions at its movie theater locations.
The social media-friendly AMC CEO, Adam Aron held a Twitter poll with this active follower base asking whether the theater chain should accept SHIB. After over 135,000 votes, an overwhelming majority of those surveyed said AMC should accept Shiba Inu. While it is no sure thing quite yet, the strong support is noticeable.
Overall, the Shiba Inu coin’s chart continues to look bullish. The recent consolidation is more than healthy after such a parabolic move, but the fact that a majority of the accumulation is still being held is a promising sign for those that are long SHIB. Shiba Inu’s potential to be integrated into the Robinhood and AMC ecosystems could be serious fuel for the uptrend to continue its move higher.
Disclosure: Long SHIB