Shiba Inu price underperformed Bitcoin and many other cryptocurrencies in 2024 as crypto investors focused on newer Solana meme coins. SHIB rose by 100%, while meme coins like Popcat and Pepe exploded by over 1,000%. This Shiba Inu forecast provides a prediction of how it will perform in 2025.
Shiba Inu price forecast 2025: technical analysis
Technical analysis is one of the best ways to predict how a financial asset will trade in a certain period. The daily chart shows that the SHIB price bottomed at $0.00001093 in July and soared to a high of $0.00003315.
Its upper side in December was important because it coincided with the highest swing on March 28 this year. It was the upper side of the cup and handle pattern, a popular continuation sign. The recent retreat is part of the formation of the handle section. It is also part of the corrective wave of the Elliot Wave pattern.
Shiba Inu’s price has also remained steady above the 200-day Exponential Moving Average (EMA), meaning that a rebound is possible. Therefore, by measuring the cup’s depth, we see that it is about 67%. If we measure the same distance from its upper side, the SHIB price may soar to $0.00005547 in 2025. That price action implies a 160% surge from the current level.
Still, the SHIB price may plunge in 2025. If this happens, the next reference level to watch will be $0.00001093, the lowest point in August, about 50% below the current level.
What needs to happen for SHIB to surge in 2025?
A few important things need to happen for the Shiba Inu price to surge in 2025. First, Bitcoin needs to do well during the year since the two have a close correlation. According to IntoTheBlock, the correlation coefficient in the past 60 days was about 0.75.
Second, Donald Trump’s Securities and Exchange Commission (SEC) needs to support the sector, as he has always said. Such a move would raise the possibility of a spot Shiba Inu exchange-traded fund (ETF), a move that will be positive for the coin.
Third, the bond market will need to do well during the year since it is one of the biggest risks to the stock and crypto industry. Bond yields have soared in the past few weeks, with the ten-year, 30-year, and five-year moving to their highest levels in months. This yield rose after the Federal Reserve pointed to fewer cuts in 2025 than expected.
More yield surges could put pressure on the crypto and stock market as it did in 2022, when most coins fell.
Internally, Shibarium needs to continue doing well, which is a move that will impact Shiba Inu’s token burn. While the number of Shibarium users and transactions has risen, fees have remained under pressure. Shibarium’s success is notable because its transactions are done in BONE, converted into SHIB, and burned.
Therefore, if all these tailwinds work well, the Shiba Inu price will soar in 2025. If they don’t align, there is a risk that it will suffer a harsh reversal during the year.
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