SHIB, the popular meme-based cryptocurrency, has experienced a challenging week, with a 22% drop in its price. As investors wonder what’s next for SHIB, here are three key factors to watch in the coming days.
1. Rejection at Key Resistance:
After finding support at $0.0000080, SHIB attempted to move higher but faced a strong rejection at the key resistance level of $0.0000085. This led to a retreat back to the key support level, which is now under pressure once again.
2. Sellers Dominate:
Sellers have been dominating the market, as evidenced by eight consecutive red daily candles in the past nine days. However, there has been a decline in selling volume over the past three days, suggesting that SHIB may have reached a local bottom.
3. Bearish Bias Continues:
Despite the subsiding intensity of the selloff, momentum indicators like the daily MACD still signal a bearish trend. The MACD histogram has not yet formed a higher low, but this could change if sellers lose interest. Such a scenario could present an opportunity for buyers to reenter the market.
Short-Term Prediction for SHIB Price:
To halt the current downtrend, SHIB must hold the support at $0.0000080. If this support level is broken, the price could quickly drop to $0.0000070. On the upside, the resistance at $0.0000085 has proven to be a significant barrier to any reversal attempts.
In summary, SHIB faces a challenging road ahead as it grapples with key resistance levels and a dominant selling pressure. Investors should closely monitor the price action and watch for any signs of a potential reversal.