Connect with us
Active Currencies 14791
Market Cap $2,469,545,528,576.10
Bitcoin Share 51.84%
24h Market Cap Change $-2.13

Shiba Inu is defending key support- Are shorting gains limited?

2min Read
Shiba Inu defended key support- Are shorting gains limited?

Share this article

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion

  • SHIB was on the verge of a bullish MA crossover.
  • Recovery could advance if bulls bypass a key hurdle. 

Shiba Inu [SHIB] strongly recovered after securing the $0.00001030 support. At the time of writing, the meme coin’s price action was on the verge of a bullish crossover – a bullish signal that could push the recovery forward. However, bulls must clear a key obstacle to advance the recovery efforts. 


Read Shiba Inu’s [SHIB] Price Prediction 2023-24


Bitcoin [BTC] reclaimed its local highs of $26K and could further boost SHIB’s recovery if the king coin doesn’t falter below the recent highs. 

Can bulls bypass the $0.00001091 hurdle?

Source: SHIB/USDT on TradingView

SHIB’s drop after price rejection at the key sell pressure zone below $0.00001200 was prevented by the $0.00001030 support. SHIB fronted a strong recovery at press time but approached another crucial resistance at $0.00001091.

If bulls overcome the hurdle, SHIB could retest or move past $0.00001133. That would give bulls leverage to retest the sell pressure zone below $0.00001200, which could set SHIB into retrace as most holders could offload holdings at the level to lock short-term gains. 

A breach of the $0.00001030 support could attract increased selling, but the drop could slow at $0.00000987. Therefore, the lower support level could act as a short-selling target. 

The 3-hour chart showed a potential MA bullish cross alongside a golden cross, as shown by the MACD (Moving Average Convergence Divergence). A confirmation of the MA cross could tip bulls to gain more leverage and bypass the immediate hurdle at $0.00001091. 

The Relative Strength Index (RSI) was slightly above the 50-mark, showing bulls’ limited leverage, but bears can’t be completely overruled unless the immediate hurdle is cleared. 

SHIB’s exchange outflow spiked, but …

Source: Santiment

As per Santiment, SHIB’s exchange outflow spiked, suggesting extra withdrawals from exchanges – an indication of short-term accumulation. Besides, the sentiment rose slightly in the positive territory, indicating a bullish sentiment that could boost the recovery. 


Is your portfolio green? Check out the SHIB Profit Calculator


However, the exchange SHIB long/short ratio showed bears had fair leverage on the 4-hour timeframe, at the time of writing.

It indicates that bears couldn’t be overruled, especially as price action approach a key resistance level of $0.00001091. Tracking BTC’s movement could offer better trade opportunities. 

Source: Coinglass

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.