Shiba Inu: Can bulls respond after SHIB’s latest price dip?
The sustained selling pressure on Shiba Inu led to a crack of a critical support level with sellers primed for more gains.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
- Selling pressure ended bullish hopes for a rebound from the $0.00000807 support.
- The market structure revealed bearish bias could continue for the long term.
Shiba Inu’s [SHIB] bullish defense of the $0.00000807 support level caved to the intense selling pressure on 1 September. The break below this support ended the possibility of a bullish rebound from the level.
Realistic or not, here’s SHIB’s market cap in BTC terms
With Shibarium’s launch having little effect on SHIB’s price chart, the bearish sentiment could persist for the long term.
Shiba Inu’s outlook remained bearish
The higher timeframe structure (12-hour and daily) highlighted SHIB’s bearish market structure, as the downtrend from the $0.00000980 resistance level extended into September.
Shiba Inu’s crack of the $0.00000807 support level saw SHIB post a 7% dip over the past five days. As such, the current price of $0.00000759 could see bears target further profits at $0.00000650 – $0.000007.
The potential profit levels for bears ($0.00000650 – $0.000007) could also serve as a price reversal zone for bulls, as evidenced by the price action in early June.
Meanwhile, the Relative Strength Index (RSI) remained in a downtrend, just above the oversold zone. The Chaikin Money Flow (CMF) also declined massively and rested at the zero mark, as of press time. Both highlighted a lack of demand and strong capital outflows.
Bearish momentum left longs exposed in the futures market
The 24-hour liquidation data from Coinglass showed the muted possibility of a bullish rebound. Long positions worth $230.89k were liquidated over the past day. This accounted for 93.1% of the total liquidations over the period.
Read Shiba Inu’s [SHIB] Price Prediction 2023-24
The continued stay of Shiba Inu’s funding rate in negative territory could see an increase in the bearish pressure. Along with Bitcoin’s bearish bias, this may see SHIB trade under the $0.00000807 level for now.
