The Shiba Inu (SHIB) token has seen increasing activity as it faces a crucial turning point in its price action. The number of unique daily active addresses using the SHIB network saw its largest increase in a year at the end of March and a significant increase in the amount of token burns has given hope to SHIB bulls. Despite the bullish fundamentals, however, clear signs of a near-term price breakout for SHIB have yet to be seen.

A look at the 4-hour chart of SHIB reveals that in the past week of March, the price was able to break a downward trend that had persisted since early February. However, the subsequent upward movement has proven unconvincing, and the price has failed to break out from a series of lower lows. A look at the 1-day chart also reveals a similar pattern, as the SHIB token managed to break out of a downward trend before falling back below it a few weeks later.

For SHIB holders, the potential rally greatly depends on the support of the trendline near the resistance at $0.00001122. A break across this level could be a signal of a trend reversal and lead to further price increases. However, a drop below the trendline could see SHIB retesting the local low at $0.0000965, opening the door to further losses. Thus, the next few trading sessions should provide a better indicator of the future course of SHIB.



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