Shiba Inu Fails to Retrace Back; Will SHIB Price Recover?

Shiba Inu has entered a consolidative price trend with an upper level near $0.00001216 and a lower level at $0.00000947. This small trading range can potentially project the future price action for Shiba Inu in the coming days. The SHIB’s fall has shaken investors who are now biting their nails under the fear of the next bearish trend. However, support levels of 2021 are strong even today, and SHIB hasn’t breached this level even once.

Shiba Inu is the second-in-line meme coin that ranks at the 14th spot with a market cap of $5,692,504,449 and a circulating supply of 549,063,278,876,302 SHIB, indicating its strength as a token for payments rather than of storage value. Since 95% of its supply has already entered liquidity, investors can be bullish on this token, but sentiment showcases the potential of consolidation in the coming days.

Shiba Inu took a strong retracement from the June 2022 lows and jumped significantly with a furious buying sentiment. Current profit booking witnessed since Sunday last week indicates a negative outlook in the short run. Read our SHIB prediction to know if you should invest in the coin or not.

SHIB price chart

Shiba Inu’s price at the present timeline has failed to test even the 2022 peaks of $0.00003394 and trades on a negative movement from this value. SHIB  has entered into multiple consolidation zones but emerged victorious with a positive biased price trend in the long run. The RSI indicator has shown a stronger buying sentiment whenever this token jumps out of its negative trend. 

Breaking the downtrend pattern on June 21, 2022, showcased buyers’ perception as a better buying opportunity. More such price jumps can take Shiba Inu back to its previous heights. However, on a number, it needs to leap significantly to return to its January 2022 peak valuations.

MACD has already marked the beginning of a bearish crossover pattern but from a positive axis, which can aid in the uptrend of this token. Shiba Inu has a strong resistance level of $0.00001434 and a support level of $0.00000561. The current value indicates a lack of potential for Shiba Inu to return to positive and strong sentiment.

Recent price action was similar to rejection at the upper band of the consolidation zone, followed by a red candle taken ahead by a larger profit booking. The candle is resting near the previous day’s lows, indicating that the sellers are testing the buying sentiment. A retracement from current levels towards the upper band of this consolidation should be taken as a short-term buying indicator with breakout potential.

Roxanne Williams

Roxanne Williams has recently joined as a market reporter for CryptoNewsZ - the 24/7 crypto news site, where she produces recent stories, technical analysis and price updates on world's leading cryptocurrencies.

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