Shiba Inu price stares at 40% advance as SHIB bounces off crucial support level

Shiba Inu price witnessed a huge correction after it failed to climb above a critical resistance level. This downswing seems to have exhausted after retesting a key foothold, which could lead to a trend reversal.

Shiba Inu price aims for a higher high

Shiba Inu price dropped roughly 35% after tagging the 62% Fibonacci retracement level at $0.00000955. The support zone, ranging from $0.00000625 to $0.00000654, absorbed the selling pressure and pushed SHIB higher. If the buying pressure continues to rise, Shiba Inu price will more than likely flip the $0.00000759 and $0.00000811 resistance barriers into support levels.

If such a move occurs, it will confirm the start of a comeback, and investors can expect SHIB to take another jab at the 62% Fibonacci retracement level at $0.00000654. A successful reclaim of this barrier will open the path to 70.5 Fibonacci retracement level at $0.0000101.

This move would constitute a roughly 40% upswing from the current position.

In some cases, Shiba Inu price might even make a run at $0.0000107, coinciding with the 79% Fibonacci retracement level.

SHIB/USDT 1-day chart

While things look optimistic after the recent bounce from the $0.00000625 support level, investors need to keep an eye out for rejection at $0.00000811. Although the resulting downswing could bounce off the $0.00000625 foothold, a breakdown below it will invalidate the bullish thesis by setting up a lower low.

In this case, Shiba Inu price might crash 16% to tag the range low at $0.00000519.