Shiba Inu selling pressure continues, but SHIBA maintains critical support level

Shiba Inu price action, like the entire cryptocurrency market, has faced some significant selling pressure. Bears continue to pressure SHIBA, which is now down over 80% from its all-time highs.

Shiba Inu price likely to create support between $0.000016 and $0.000020

Shiba Inu price action rejected earlier signals indicating a bull reversal would likely occur. Near the beginning of January, there was some evidence that SHIBA may push for a $0.000050 value area test, but those projections have been eliminated.

From an Ichimoku Kinko Hyo perspective, Shiba Inu has zero upcoming support on the daily chart. Shiba Inu price is below the Cloud (Senkou Span A and Senkou Span B), the Tenkan-Sen, and the Kijun-Sen. Future Senkou Span A is below Future Senkou Span B, and the Chikou Span is below the candlesticks in open space. In other words, within the Ichimoku system on the daily chart, SHIBA is in price discovery mode and has a free hand to keep moving lower.

The nearest Ichimoku support level for Shiba Inu is on the weekly Ichimoku chart. Senkou Span A at $0.000007 is the closest Ichimoku support level for Shiba Inu price. However, a massive bounce could occur at any moment. The daily Composite Index has hit new all-time lows. At the same time, the Relative Strength Index is right on top of the first oversold level in a bear market at 30.

SHIBA/USDT Daily Ichimoku Kinko Hyo Chart

To generate any hint of termination of this current downtrend, Shiba Inu price will need a daily close above the Tenkan-Sen, Kijun-Sen, and the Volume Point Of Control. A close at or above $0.000028 would invalidate any further near-term bearish outlooks.