Shiba Inu Price Analysis: SHIB Prepares to Explode 2x as Meme Season Returns

Analyzing the chart and providing an overview of the macro context shows that the price of Shiba Inu (SHIB) is preparing for a strong bullish move in the coming weeks. Finally, at around $0.000016, the price of Shiba Inu is within the recent daily range, following an impressive bullish rally from the multi-month lows reached in early April of around $0.00001070. According to CoinMarketCap, the latest market capitalization of this cryptocurrency is approximately $9.6 billion, with a trading volume of over $530 million in the past 24 hours. However, the bullish trend has only just begun. Since the beginning of April, the macro news flow has been very positive. Trade war tensions have eased as the United States and China announced significant tariff reductions this week, and the United States has delayed imposing tariffs on other trade partners in recent weeks.

Meanwhile, the U.S. inflation data released on Tuesday was lower than expected and reached its lowest level in four years, indicating that concerns about a surge in inflation related to tariffs have so far been overstated.

Data released in recent weeks shows that the U.S. economy, despite some cracks, is not yet on the brink of a major recession. Therefore, risky assets, including meme coins like Shiba Inu, have a green signal to continue bullish in the coming weeks. Meanwhile, chart analysis further reinforces the bullish case. The price of Shiba Inu has decisively broken above the long-term downtrend in mid-April and has seen a strong recovery from the 21 and 50 DMA at the beginning of May. This indicates that the bulls are in control of the market at this moment. A bullish rally to a peak at the end of 2024 in the area of 0.000033 dollars, doubling the current level, seems likely to occur.

Predicting Shiba Inu prices – Are you ready for the new meme season? The stars may be gathering to kick off a new meme coin season. Previous meme seasons often required a significant positive catalyst to get started. At the end of 2024, it is the election of the cryptocurrency-supporting U.S. presidential candidate Donald Trump. At the beginning of 2024, it is the success of spot Bitcoin ETFs and the increase to a new all-time high for BTC prices. Throughout 2021, the Federal Reserve and the U.S. government implemented expansive loosening policies such as zero interest rates, QE, stimulus checks, and large deficit spending. The easing of trade tensions, combined with renewed optimism about the economy and the Fed's interest rate cuts through the end of 2025, could drive the market enough to bring Shiba Inu prices back to multi-year highs. That being said, it may require fiscal/monetary policy conditions at the level of 2021 for Shiba Inu to be bullish 5 times or more compared to the current level, and such policies have only been issued in the past to address a major economic crisis. The U.S. economy, influenced by recent instability in trade, persistently high interest rates, and the enormous burden of federal debt, may still fall into recession this year, leading to such a policy response.

In that case, the price of Shiba Inu may decrease significantly before recovering. Investors in meme coins would be wise to continue dollar-cost averaging into major coins like Shiba Inu with the expectation that prices will eventually rise higher.