The Shiba Inu price has experienced a sideways trend for the past two months, remaining confined between the levels of $0.0000116 and $0.00000975. This consolidation has been a sign of uncertainty amongst traders, as prices have fluctuated between those levels. However, the crypto market recently faced a sudden sell-off, enabling sellers to breach the lower support level of this range. As they plan their next moves, traders should be aware of the potential risks and opportunities surrounding this breakdown.
A bearish breakdown below the $0.00000975 support level could exacerbate supply pressure in the market. The daily exponential moving averages (EMAs) of 20, 50, 100, and 200 suggest that any potential recovery effort may face multiple resistance levels. Meanwhile, the intraday trading volume for Shiba Inu coin sits at $180.45 million, a 45% increase.
On the daily timeframe chart, the Shiba Inu price has experienced a decisive breakdown from the $0.00000975 support level of the current range formation. This breakdown, accompanied by above-average volume, implies that sellers are confident in driving the market value of this memecoin lower. As a result, the pierced support may convert into a viable resistance level, providing sellers with an additional barrier to apply pressure on buyers. If the daily candle closes below $0.00000975, traders might anticipate a bullish pullback to seek a better entry opportunity.
Additionally, the potential downfall could send the Shiba Inu price plummeting 18% to revisit December 2022’s low of $0.00000777.
Technical indicators suggest an unfavorable outlook for Shiba Inu. The daily Relative Strength Index (RSI) slope is diving deeper into bearish territory, reflecting increased negative sentiment amongst traders. Furthermore, the coin’s price is falling close to the lower band of the Bollinger Band indicator, indicating momentum selling in the market.
Shiba Inu’s intraday price levels indicate a bearish trend with low volatility. Resistance levels are at $0.0000107 and $0.0000117, while support levels are at $0.00000885 and $0.0000077.
It’s crucial for investors to conduct thorough market research before investing in cryptocurrencies, as the presented content may include the personal opinion of the author and is subject to market conditions. Neither the author nor the publication holds any responsibility for individual financial loss.
Source: Coingape
