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Shiba Inu price stares at 15% breakout as SHIB loses directional bias

  • Shiba Inu price is currently grappling with a crucial support level at $0.0000279.
  • SHIB could drop 15% to collect liquidity resting below the swing lows around $0.0000237.
  • Since there is no apparent directional bias, a resurgence of buyers could lead to a retest of $0.0000322.

Shiba Inu price is stuck in a range since it set up the October 7 swing high. As SHIB currently sits on the mid-point of this range, it shows no directionality whatsoever. Therefore, a breakdown of the 50% Fibonacci retracement level could lead to a drop or an upswing if the buyers decide to make a comeback.

Shiba Inu price at inflection point

Shiba Inu price seems to be stuck in a range after its 66% ascent between October 6 and October 7. The trading range extends from $0.0000326 to $0.0000206 and SHIB is trading above the mid-point at $0.0000279.

Since Shiba Inu price has no sense of direction, it could head either way. Therefore, investors need to wait for confirmation.

Assuming a bullish outlook, SHIB needs to bounce off the 50% Fibonacci retracement level at $0.0000279 and produce a decisive 4-hour candlestick close above $0.0000297 to have a chance at retesting the $0.0000322 hurdle. This ascent would constitute a 15% advance from the current position. In a highly bullish case, SHIB could rise to retest the range high at $0.0000353.

SHIB/USDT 4-hour chart

SHIB/USDT 4-hour chart

However, if Shiba Inu price fails to hold above the 50% Fibonacci retracement level at $0.0000279 and produces a decisive close below $0.0000271, it will confirm the start of a downtrend.

In this case, market participants can expect Shiba Inu price to head 15% lower and collect the liquidity resting below the $0.0000237 support levels.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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