- SHIB has defended multi-month trendline support above $0.000022.
- Will renewed whale activity trigger another price rally?
The dog-theme memecoin Shiba Inu [SHIB] began the year positively, tucking nearly 20% gains in the first week of January. This was part of renewed speculative interest across the markets, as the broader meme-coin segment posted double-digit gains on average.
SHIB’s rally has since cooled off near $0.000025, offering bulls another chance for re-entry ahead of the FOMC Minutes on Wednesday, January 8th.
Will SHIB extend recovery?
Source: XRP/USDT, TradingView
The Fed induced the December market pullback following a hawkish interest rate cut. The upcoming FOMC Minutes will explain the members’ outlook, and any bearish signals could offer an extra discounted opportunity.
In such a case, SHIB could defend the multi-month trendline support (white) and rebound towards the resistance zone at $0.000028. This move would offer nearly a 20% potential gain.
The bullish outlook would be invalidated if SHIB breached below the trendline support. However, the rebound in demand (RSI) and capital inflows (CMF) indicate a potential recovery could still be possible.
SHIB’s whale interest soars
Source: Coinglass
The liquidation heatmap confirmed the marked levels on the price charts. According to the map, a liquidity sweep drove recent price action. After tapping the lower liquidity at $0.00002, the price soared to the next level at $0.000025.
A short squeeze above $0.000025 could push the price higher toward the upside liquidity pool below $0.000030, corresponding with the resistance zone on the daily chart.
Additionally, there was an uptick in whale activity, with a 37% surge in large transactions, according to IntoTheBlock data. About $35 million of SHIB was transacted in the past 24 hours.
Read Shiba Inu [SHIB] Price Prediction 2025-2026
Source: IntoTheBlock
Notably, a similar surge in large transactions in late December triggered SHIB to rally 20% after bouncing off the trendline support. Should the trend repeat, SHIB could extend its recovery above $0.000025 and likely target the resistance zone.
