Shiba Inu stuck below 23.6% Fib level- What to expect next
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
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- SHIB steadied slightly above its December lows of $0.00000779.
- Strong positive capital inflows in the past few days – is it enough for a rebound?
Shiba Inu [SHIB] has witnessed low volatility on higher timeframe price charts in the past few days. Its price oscillated between $0.00000832 and $0.00000914 since 8 May amidst cut-throat competition from PEPE.
Read Shiba Inu’s [SHIB] Price Prediction 2023-24
In the meantime, there was a slight overall market sentiment improvement on 17 May after Bitcoin [BTC] reclaimed the $27k zone. This followed an optimistic tone on the U.S. debt ceiling talks that has caused jitter in the markets for the past few days.
Can SHIB reverse recent losses?
Despite the recent price consolidation, the daily chart’s CMF and RSI have risen in the past few days. It shows increased capital inflows and buying pressure, respectively.
The Fib retracement tool (multicolored) was placed between the Q1 swing high and December lows. If the trend persists and macro environment conditions continue to ease, SHIB could rally to the 23.6% Fib level of $0.00000967.
The 23.6% Fib level held the plunge seen in February and mid-March. But it was breached in early May, exposing SHIB to more selling pressure. Therefore, bulls could gain leverage if they flip the 23.6% Fib level ($0.00000967) to support.
However, a session close below $0.00000864 could sink SHIB to retest December lows of $0.00000779. Such a move will effectively clear all gains made so far in 2023.
Aggregated CVD spot indicates …
How much is 1,10,100 SHIBs worth today?
According to Coinalyze, the aggregated CVD (Cumulative Volume Delta) spot on the 1-hour chart had declined for the past few days. This reinforces that sellers had the upper hand in the same period. A rising CVD spot will signal bulls gaining momentum and is worth tracking.
However, liquidations data showed more long positions ($80k) wrecked than shorts ($9k) in the past 24 hours. It reinforces sellers’ edge, and traders should track BTC price action before making moves.