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Shiba Inu Price Analysis: After failing to settle below the $0.000007 support level, SHIB poised for a reversal

TL;DR Breakdown

  • Shiba Inu price analysis highlights SHIB’s failure to settle above the $0.000007 critical support level.
  • Shiba Inu is recovering after suffering a 40 percent crash.
  • SHIB is showing signs of surging towards the 50 percent Fibo retracement level.
  • A price movement below the $0.00000624 swing low will cancel all bearish narratives.

Shiba Inu has been registering adverse price movements for more than a week now as it loses almost half of its recent gains. This downward trend saw Shiba Inu register a price reversal as it trades within a low range, indicating the crypto is close to moving towards an equilibrium.

Shiba Inu Price Analysis: General price overview

On looking at Shiba Inu’s 24-hour price chart, it is evident the crypto coin failed to settle below the $0.000007 critical support level due to insufficient downward momentum. This has seen the crypto asset move back to settle above this critical level. As the crypto market continues to encounter volatility, Shiba Inu has been facing material pressure in recent trading sessions. Recently, the number one crypto coin, Bitcoin, attempted to retest its $30,000 support line creating shivers across the market.

Today’s trading session saw Bitcoin move past the $36,000 mark, with other virtual assets recording positive price movements. At present, the market sentiment depends on the price movement of Bitcoin, which needs to settle above the $35,000 support line to have a chance of developing a bullish narrative.

Shiba Inu price movement in the past 24 hours

Source: TradingView

Shiba Inu is currently exchanging hands above the $0.00000718 support level after failing to recover a higher uptick. According to the 24-hour chart, Shiba Inu buyers will likely test the first resistance barrier at $0.00000832 if the ongoing bullish trend is anything to consider. In such an event, the crypto asset could rally upwards towards the most recent swing high of $0.00000885. If buying pressure continues to build, the meme-themed crypto-asset could retest the 50 percent Fibo retracement level, which coincides with the $0.00000937. In a highly bullish scenario, Shiba Inu might record a new swing high at around $0.0000104.

However, if the dog-themed cryptocurrency fails to settle above the $0.000007 support line, SHIB risks plunging towards the next support level at $0.0000063. If this happens, the next likely price level for Shiba Inu will be the following support line at around $0.0000044. At present, there is no significant resistance barrier between $0.0000044 and $0.0000063. Therefore, a downward trend would be fast.

Shiba Inu 4-hour chart

Source: TradingView

Unlike other top crypto assets, SHIB is not showing significant signs of heading higher. This means market participants should practice caution in trading the crypto asset. According to the 4-hour chart, the supply barriers extending from $0.00000832 to $0.00000885 are crucial in validating a price rally.

Conclusion

Therefore, a near term bull run that fails to settle above these levels will signal the possibility of a downward price movement. In the event, SHIB breaks down towards the range low of $0.00000653, all bullish outlooks will end, kick-starting a 22 percent down surge. This will see Shiba Inu settle around $0.00000513. If the selling pressure persists from here, SHIB might plunge towards $0.0000042.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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