Shiba Inu Soars 18% in July, Hinting at Bullish Double Bottom Formation
Shiba Inu (SHIB) has jumped 18% so far this month, marking its strongest monthly performance since November, as renewed risk appetite sweeps through crypto markets in the wake of bitcoin’s surge past $118,000.
The meme-inspired cryptocurrency’s impressive gains are fueling speculation about the formation of a double bottom pattern—a classic technical signal that could pave the way for a broader rally.
In just the past 24 hours, SHIB has gained over 7%, according to data from CoinDesk. The rally has been accompanied by strong trading volumes and an uptick in token burns, which have helped reduce the circulating supply—an insight highlighted in CoinDesk’s AI research analysis.
AI Analysis Highlights
- SHIB advanced 7% between July 10 at 12:00 and July 11 at 11:00, climbing from $0.000012476 to $0.000013399 on robust volume totaling 1.904 trillion tokens.
- A brief retracement occurred in the final hour of that window, with SHIB easing by 1% to around $0.000013385 amid liquidation pressures.
- Over the past day, more than 9.5 million SHIB tokens were burned, although this supply reduction had only a limited immediate impact on price.
Key Price Levels
- A significant breakout occurred at $0.000013110 on extraordinarily high volume, nearly double the typical daily average.
- A solid support zone has formed around $0.000013230, while resistance is now seen near $0.000013580.
- Sustained buying could push SHIB toward the psychological threshold of $0.000014000.
Path Toward a Double Bottom Breakout
SHIB’s month-to-date rally follows a successful defense of its April low near $0.00001005, raising hopes for the completion of a double bottom pattern on its daily chart.
This pattern involves two roughly equal price lows separated by a rebound. A decisive breakout above the “neckline” formed by the intervening high confirms the reversal and signals a fresh bullish trend.
For SHIB, the critical double bottom resistance level stands at the May high of $0.00001764. A move above that point could trigger significant further upside.
