Shiba Inu price is facing more selling pressure as the broader cryptocurrency market experiences an increased sell-off pressure. Over the past week, SHIB price has declined by almost 9%.
The aforementioned has put immense pressure on the significant psychological level of $0.000010. Interestingly, this level proved crucial in the past in reversal patterns, and is thus significant for the token future direction.
Currently, the top meme coin is striving to hold this level to continue preventing even more losses. According to analysts, this level can act as a support level thus allowing SHIB to go up and break the falling channel pattern.
Shiba Inu Price Tests Key Support Zone
Shiba Inu price is down by 65% from a swing high of $0.00003285 and is in a falling channel on the daily chart. The token experienced its 24-hour low of $0.00001082 before recovering slightly. This struck a buying frenzy and brought the Shiba Inu price back to $0.00001163.
Notably, this price rejection suggests that there is continued interest near this support level.
Furthermore, the Relative Strength Index (RSI) is divergent, signaling a trend reversal in the near future.
Even though the Shiba Inu price has reduced, the RSI continues to remain above the oversold zone. This implies that the bearish pressure is fading and thus there are high chances of the market bouncing back.
According to analyst $SHIB INFORMER, there are indications of increased investors’ participation in SHIB tokens. It means that if buying pressure continues increasing, the price of SHIB can break through key resistance levels.
On-Chain Indicators Reveal Resistance and Supply Zones
According to the IntoTheBlock data, SHIB price is in a robust support area of $0.000008 and $0.000011. In this zone, 41.12 trillion SHIB tokens are staked in 198,000 wallets.
Historically, this accumulation zone has offered firm support, thus avoiding further decline. The stability of SHIB price in maintaining this range will define its short-term volatility.
On the resistance side, the top meme coin’s price has several levels that may affect a reversal in its trend. The first significant support area is between $ 0.000012 and $ 0.000014, containing 25.66 trillion SHIB tokens in 60000 wallets.
However, if SHIB goes beyond $ 0.000012 and $ 0.000014, the subsequent key resistance is between $0.000014 and $0.000019. This range contains nearly 550 trillion SHIB tokens across 165,000 addresses. A breakout above this region would require strong buying momentum.
Shiba Inu Price Targets and Possible Breakout Scenarios
Pivot Level Indicator gives essential levels that will determine SHIB price movements. The recent price surge was witnessed just slightly higher than the S-1 Pivot Support Level at $0.00001061. This level is still important for SHIB to maintain its current price range.
If this momentum is maintained, SHIB price may test the falling channel’s upper boundary at around $0.000013.
Notably, this breakout could see SHIB price move further upward towards the central pivot point at $0.00001493.
If the upward momentum continues, Shiba Inu price may try to climb even higher towards the resistance at $0.000019.
However, if the selling pressure increases, the selloff could continue and potentially retest the support levels to extend the consolidation phase.