Can Shiba Inu Price Recover to $0.000017 as Bullish Reversal Pattern Takes Shape?

Shiba Inu (SHIB) had a rough weekend, as the US strikes against Iran triggered panic selling and massive liquidations across the crypto market. Shiba Inu price trades at $0.0000107 today, June 23, with a 24-hour trading volume of $242 million. The recent dip has brought SHIB’s monthly loss to 25%.

Despite the bearish headwinds, a double bottom pattern, which usually marks a bullish reversal, is taking shape as bulls defend a crucial support level and aim for $0.000017.

Shiba Inu Price Recovery Looms as Bullish Pattern Forms

The weekly chart shows Shiba Inu price is attempting to recover losses after it hit the support level at $0.0000106. This support has absorbed selling pressure for the past year, supporting multiple bounces and recovery rallies and could serve as a good entry point for buyers, speculating on a bounce.

Since the downtrend that started in December 2024, SHIB has defended this support twice, leading to the formation of a double-bottom pattern. The last time it bounced from this support was in April 2025, with the resulting rally leading to the creation of a neckline resistance at $0.0000173.

If the price of this top meme coin repeats historical trends and bounces, it will attempt a retest of $0.000017. A decisive weekly candlestick close above the said neckline will confirm the double bottom pattern. For such a development to occur SHIB token would need to climb 64% from its current price.

The theoretical double bottom pattern’s target is $0.0000283, obtained by adding the distance between the bottom and neckline to the breakout point at $0.0000173. An exaggerated bullish target would be the start of this downtrend at $0.0000322. In both cases, a decisive close above the neckline resistance, coupled with a spike in spot buying volume, could aid the SHIB token in reaching the aforementioned price targets.

For the double-bottom to take shape and signal the same recovery that the SHIB price formed in April, the RSI also needs to produce higher lows and form a bullish divergence to confirm that buyers are stepping in. Currently, the RSI sits at an oversold level of 38.

However, it is crucial to note that SHIB’s 50-day Simple Moving Average (SMA) is still oscillating above price, a sign that the short-term momentum remains bearish. Until Shiba Inu price crosses above this level at $0.0000168, bears could remain in control.

Moreover, a recent CoinGape analysis noted that SHIB risks a 50% crash if it loses the support level at $0.00001. Such a move would invalidate the double bottom pattern formation.

SHIB Funding Rate Flips Negative

Shiba Inu’s funding rate, a metric that is used to gauge the market sentiment, has flipped negative. When this happens, it usually creates a bearish narrative for the Shiba Inu price forecast as more traders are betting that the price will decline by opening short positions.

According to Santiment data, SHIB’s funding rate has fallen to the lowest level since April, which signals overcrowded short positioning. This may be bullish because when these short positions are closed in case the price recovers, it will trigger a spike in buy-side pressure. Moreover, the negative funding rate also mirrors the market conditions in April before the price of Shiba Inu rallied to the neckline resistance at $0.000017.

In summary, the Shiba Inu price could be eyeing a recovery after shedding more than 25% of its value in just one month. As a double-bottom pattern takes shape and short positions increase, a recovery to $0.000017 could be on the cards.