- Shiba Inu price is trading above the range’s lower end at $0.00000654.
- A breakdown of this barrier might result in a 25% drop to $0.00000513.
- If the buyers make a comeback, SHIB could tag resistance levels at $0.00000762 and $0.00000840.
Shiba Inu price shows little to no connection with the crypto markets as it failed to rally on June 8. Additionally, SHIB continued to descend while most altcoins were on a rally, following Bitcoin.
Shiba Inu on dangerous grounds
Shiba Inu price saw a hyperbolic run between May 7 and May 10, during which it rose a gigantic 2,933%. Despite its 83% drawdown, SHIB managed to stay rangebound and above its seemingly significant support level at $0.00000654, coinciding with the range’s swing low.
At the time of writing, Shiba Inu price is testing this barrier for the fourth time in the last 22 days. While the overall directional bias for this dog-themed cryptocurrency has been bearish, SHIB could see a bounce.
The basis for this uncertainty lies in the fact that the meme coins like Shiba Inu are driven by hype cycles and retail frenzy.
Therefore, a potential spike in buying pressure or social volume could effectively launch SHIB price by 16% to tag the immediate resistance level at $0.00000762. Breaching this will allow the buyers to retest $0.00000840 and subsequently the 50% Fibonacci retracement level at $0.00000937.
SHIB/USDT 4-hour chart
If the potential upswing explained above fails to occur and investors continue to book profits, there is a high chance that Shiba Inu price will continue to descend. A breakdown of the range low at $0.00000654 will signal the start of a downswing.
A 25% decline to the immediate support barrier at $0.00000513 seems likely if this were to happen.
Under extremely bearish situations, Shiba Inu price might even tag $0.00000420, which is an 18% drop from the previous support.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.