Shiba Inu price has done well in the past few days. The SHIB coin rose to a high of $0.000015, which was the highest level since August 17. This price was about 65% above the lowest level this year. On Tuesday, the coin was trading at $0.000013.
SHIB outlook for November
Shiba Inu and Dogecoin have come back to life after staying in a consolidation phase for weeks. The main catalyst for the rebound was the conclusion of Elon Musk’s Twitter buyout last week. He paid $44 billion for the struggling and loss-making social media company.
Shiba Inu price rose because of the performance of Dogecoin. In the past two years, Musk has become one of the most active advocates for Dogecoin. In fact, Dogecoin was a sleepy and relatively unknown cryptocurrency before he endorsed it.
Shiba Inu and other meme coins started to become better alternatives to Dogecoin. Therefore, historically, the two have a close correlation.
Buyers seem to believe that Elon Musk will incorporate Dogecoin in Twitter’s ecosystem. He could do this by making it a payment option in Twitter, a platform that has more than 200 million daily active users (DAU). According to media reports, Musk is considering making people pay to be verified.
However, in my view, I believe that all these activities will not have a major impact on Dogecoin and Shiba Inu. For one, it is unclear how many people will prefer using coins as a payment option on Twitter. A good example is that very few people buy Tesla accessories using the coin. As such, this rally is simply based on hype and false assumptions.
Shiba Inu price also rose because of the participation of Binance in Twitter’s acquisition. Binance contributed a substantial sum of money, meaning that the two companies could partner.
Shiba Inu price prediction
The four-hour chart shows that the SHIB price has been in a strong bullish trend in the past few days. It remains above the 25-day and 50-day moving averages while the Relative Strength Index (RSI) moved slightly below the overbought level.
The coin has crossed the key resistance level at $0.000012, which was the highest point on September 24th. It also seems like it is in the process of forming a double-top pattern. Therefore, the coin will likely keep rising as bulls target the double-top level at $0.000015. It will then resume the bearish trend.