Shiba Inu Correction Phase May Be Over as Recovery Signs Emerge

Shiba Inu is showing signs of recovery after a recent correction, with analysts predicting the potential for a momentous price rally anytime soon.

After a recent correction, Shiba Inu (SHIB) is exhibiting signs of recovery, with some analysts predicting the potential for a significant price rally in the near future.

According to TradingView analyst "Real CryptoRoy," SHIB has likely reached a local bottom and is poised for a bullish move in the coming weeks.

Shiba Inu's Correction Phase Might Be Concluding as Recovery Signs Emerge Following a recent rally that saw SHIB briefly touch a high of $0.00003330 in December 2024, the token entered a correction phase. SHIB price dropped by around 44%, reaching $0.0000186 before rebounding to the $0.00002 zone.

For several weeks, Shiba Inu has maintained a tight trading range around $0.00002, lacking strong upward momentum. While SHIB briefly recovered to reach $0.000024 in the first week of January, it dipped again to below $0.00002.

These price fluctuations posed challenges for holders who bought at the top but also presented an attractive entry point for mid-term investors looking to capitalize on SHIB's potential rebound.

In his analysis, CryptoRoy highlighted this perspective. He noted that the price action on January 13, when Bitcoin dipped to $89K, was particularly significant. Notably, SHIB did not dip below its previous low despite Bitcoin making a new lower low for the year at under $90K.

To provide context, SHIB dipped to around $0.00001978 on this day but closed above $0.000021. According to CryptoRoy, this "higher low" suggests strength in SHIB's momentum.

He also noted that the daily close staying above key support levels indicates the possibility of the correction coming to an end. Specifically, the analyst points out these positive signals, suggesting an imminent upward move is on the horizon.

Crucial Levels to Watch for SHIB's Bullish Momentum CryptoRoy identifies $0.000025 as a crucial short-term resistance level for SHIB. If SHIB can break above this threshold and maintain its momentum, it could open the door for a retest of recent highs around $0.000033.

Moreover, the analyst suggests that a breakout past this resistance with strong volume could pave the way for more significant rallies to new highs.

However, CryptoRoy emphasizes that the broader crypto market, led by Bitcoin, is a key factor in SHIB's performance. He advises traders to keep a close eye on BTC and its dominance (BTC.D) to gauge market shifts, as Bitcoin's price action often influences altcoins.

This rings true as the crypto market sentiment has improved with Bitcoin's recent movement. Yesterday, BTC briefly touched $100K again in 2025. This bullish sentiment has also spilled over to Shiba Inu, which reached a fresh weekly high of $0.00002282 today.

DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.