Shiba Inu (SHIB) has recently seen a rally, but a closely followed analyst, Cheds, suggests it could be a setup to trap bullish investors looking to long the meme coin. Cheds, with a large Twitter following of 311,700, points out that SHIB is experiencing a surge within a macro downtrend, which could lead to a short opportunity shortly.
The analyst notes that the rally might entice SHIB bulls who hope the meme coin will reverse its downtrend and trigger an isolated bull run. However, Cheds warns that exhaustion is starting to show among the bulls, possibly indicating a blow-off top on the four-hour chart. He believes his bearish stance would be invalidated if SHIB manages to rally above $0.00001075.
Despite the cautionary note for SHIB, the cryptocurrency has been on a solid upward move since hitting its 2023 low of around $0.0000054 in June. As of the time of writing, SHIB is valued at 0.00001013, representing a more than 14% increase in the last 24 hours.
On a separate note, Cheds analyzes Bitcoin’s (BTC) recent price action and suggests that the crypto king may have already reached a local bottom of around $28,600. He believes the August 1st low of $28,612 should satisfy the initial call for a mean reversion. Additionally, Cheds considers the current price zone necessary due to the throwback effect.
Last month, Cheds accurately predicted that Bitcoin would fall to the $28,500 range before ending its corrective period. The analyst predicts BTC will likely experience a slow grind-up after hitting its downside target.
As of the time of writing, Bitcoin is priced at $29,089.
It’s important to note that market predictions and analyses are subject to change based on evolving market conditions and other factors. Investors and traders should exercise caution and research before making investment decisions.
Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.