According to U.Today, Shiba Inu (SHIB) saw a significant 7% increase in value within a single hour, marking a standout performance in a broader crypto market rebound. This rise is especially remarkable as it happened without the influence of major news or announcements over the weekend, suggesting technical factors as the primary catalyst. In the cryptocurrency market, technical analysis often plays a crucial role, with price movements frequently attributed to patterns, trends, and indicators rather than fundamental news.
In the case of SHIB, the 7% rise seems to be the result of such technical factors. Traders and analysts have noted that SHIB's price bounced sharply off a key support level, indicating that the token was oversold in the very short term. SHIB's price has been relatively stagnant since last week as traders eagerly awaited a decisive move.
As observed on the hourly chart, Shiba Inu recorded three massive green hourly candlesticks after the price hit support at lows of $0.00002155. In the last hour, Shiba Inu posted a gigantic green candlestick, the largest in the recent four hours with the price reaching highs of $0.00002395. At the time of writing, SHIB was up 5.52% in the last 24 hours to $0.00002357.
The overall crypto market is showing signs of recovery, with several major cryptocurrencies regaining lost ground. This rebound has created positive sentiment among investors, which may have contributed to SHIB's rapid price increase. The market's optimism, combined with SHIB's technical indicators, created a perfect storm for the token's value to surge. As SHIB continues to chart its course, traders are closely watching price movements for the next resistance levels amid speculation over how far SHIB can rise in the days ahead. This week, the United States will disclose significant CPI data for April, a macroeconomic event that may cause volatility on the cryptocurrency markets.