Shiba Inu is down 2% over the last 24 hours and trades with a bearish bias at $0.00005140. SHIB’s trading volume and market value have also decreased as it loses a spot among the top 10 coins by market capitalization. Overcoming the $0.000055 resistance level will confirm Shiba Inu’s bullish breakout.
Shiba Inu price is down 2% in the past 24 hours as it trades in the red at 0.00005140. SHIB’s daily trading volume has been declining in tandem with the price and currently stands at $2,379,346,807, having plunged 52.14% over the past 24 hours. Shiba Inu’s market capitalisation has dropped by 2% to $28,140,426,224 over the same time frame as SHIB slid to the 11th position with respect market value.
All these are bearish signs that indicate the current price correction displayed by the self-claimed ‘Doge killer” may continue for a while.
How Low Can Shiba Inu Price Go
SHIBA has dropped 42% from the October 28 all-time high (ATH) at $0.00008932 to the current price around $0.00005140. This price action has created a descending parallel on the four-hour chart with the Shiba Inu price being continuously rejected by the upper boundary of the channel.
SHIB is facing immediate resistance from the 0.00005510 level where the 50-period Simple Moving Average (SMA) coincides with the upper boundary of the channel. Flipping this level into support is crucial for Shiba Inu’s bullish breakout.
A decisive bullish breakout will be seen when SHIB overcomes the resistance posed by the 10 SMA at $0.00006099. After which the ATH at $0.00008932 will be next logical move.
SHIB/USD Four-Hour Chart
Failure to break rise above the $0.000055 level will mean a continuation of the current price action. Therefore, a closure below the $0.000050 psychological level could see the meme coin drop to tag the middle boundary of the prevailing chart pattern at $0.00004225. If this support level fails to hold, SHIB could drop further reaching the target of the prevailing chart pattern at $0.00002926, a 43% decrease from the current price.
The down-sloping moving averages and the decreasing trading volume validate this bearish outlook. In addition, the downward movement of the Relative Strength (RSI) indicator towards the oversold zone suggests that the bears are currently in control of SHIB price, validating the bearish narrative.
Moreover, the SuperTrend indicator reversed from bullish to bearish on November 03 and moved above the price sending a sell signal. Note that as long the SupetTrend indicator remains above the Shiba Inu price, the bearish momentum is set to continue.
Furthermore, data from IntoTheBlock’s In/Out of the Money Around Price (IOMAP) model shows that Shiba Inu price faces significance resistance upwards, adding credence to the bearish thesis.
SHIBA Inu IOMAP Chart
For example, the immediate resistance at $0.000055 is within the $0.000054 and $0.000056 price range where roughly 25,450 addresses previously bought around 28,512 billion SHIB. These investors might want to break-even curtailing any attempts to push the SHIBA price past this point.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.