According to U.Today, Shiba Inu (SHIB) has reached a critical juncture, experiencing a significant reversal at the 50-day Exponential Moving Average (EMA). This shift away from the 50 EMA indicates a cooling of SHIB's momentum, aligning with a broader trend of waning strength in the cryptocurrency market. This reversal has occurred amidst neutral trading volume, suggesting a lack of trader commitment to drive SHIB's price in either direction. This market indecision is mirrored in the Relative Strength Index (RSI), which currently sits at a neutral value of 50, indicating neither an overbought nor an oversold condition.
SHIB's failure to secure a breakthrough above the 50 EMA reflects the current market state, characterized by a lack of buying power across various assets. The support level at $0.000021 serves as SHIB's immediate floor. A drop below this level could indicate a further decline, with potential support at the lower boundary of the trading channel near the $0.000012 mark.
If SHIB can rally back and surpass the 50 EMA, it could potentially target higher resistance levels. The first area of contention would be the recent high around the $0.00003 range. However, SHIB's upward journey may not be smooth, as it would require significant market participation and a sentiment shift to fuel such a rise. The future moves of SHIB depend on whether it can muster the strength to recover from its current levels or if the market's pause is a precursor to a deeper retracement. It is crucial to monitor the support at $0.000021 and any reversal from it. There is a high possibility of a strong and swift bullish retracement, and prematurely dismissing SHIB could prove to be a rash decision.
