Shiba Inu is a new cryptocurrency which started life in August last year, but it only started getting broad attention during the surge in May this year. We saw an attempt to turn this altcoin bullish in April, which was a sign that Shiba was attracting some attention, but the crash came and after topping out at $0.000040, SHIB/USD reversed back down.

For about two months, SHIB/USD has traded in a range, which stands above the previous range below the surge. Although, there is a slight pressure to the upside for this pair, despite the latest reversal down after the failure to break above the 20 SMA (gray) on the daily chart.

This moving average has turned into  resistance, keeping the highs under control at the top. At the bottom, the 50 SMA (yellow) has come into play for about a month, providing support and pushing the lows higher. Today we are seeing a reversal down, after the two doji candlesticks and the failure to break the 20 SMA.

We are building some long positions in Shiba Inu, with the current range being pretty low and the bias to increase above the resistance at least, as the 50 SMA (yellow) keeps pushing the lows higher. The crypto influencer Coin Bureau recently posted a new YouTube video, suggesting that Shiba coin may rise again, saying that “there might be more to this token than meets the eye.”

We’re hearing rumors that Coinbase will add Shiba coin to its application. Another reason why I think that SHIB/USD will turn bullish soon is the fact that Doge coin which was one of the most interesting cryptocurrencies in April and May, after Tesla’s CEO Elon Musk tweeted and chatted about it, but it has lost its mojo and crashed down.

Doge continues to slide lower, making lower highs and lower lows. Shiba Inu will likely benefit from the decline  in DOGE/USD since they differ in the way that they are connected to the crypto community. DOGE is really just a meme, while the Shiba Inu is community-driven.

There also seem to be some seriously prolific people behind the project, as the co-founder of Ethereum Vitalik Butterlin is making massive use of the Shiba coins. So, I have been building some long positions on SHIB/USD and I think that once the price moves above the 20 SMA on the daily chart, the bullish trend will resume again.