Connect with us
Active Currencies 14906
Market Cap $2,593,752,071,787.30
Bitcoin Share 51.60%
24h Market Cap Change $0.79

SHIB’s sideway structure persists, what should traders expect?

2min Read

SHIB’s short-term range formation in May has extended into early June. A rally to the range high is possible if BTC retests $28k.

SHIB’s sideway structure persists, what should traders expect?

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.

Shiba Inu [SHIB] continued to face muted price performance in early June. Besides fierce competition from Dogecoin [DOGE], Floki Inu [FLOKI], and Pepe [PEPE], SHIB’s TVL dipped from over $1 billion in 2021 to less than $30 million in recent times. 

The meme coin’s price action chalked a short-term range formation since mid-May as Bitcoin’s [BTC] price gyrations persisted. 

Will SHIB bypass the mid-range level?

Source: SHIB/USDT on TradingView

Since 8 May, SHIB has been stuck in a range trading pattern, with extremes at $0.00000912 and $0.00000834. Like the 4-hour chart, the 12-hour chart was neutral at press time, meaning the price could go in either direction at the mid-range level of $0.00000873. 

If BTC maintains hold of $27k and surges, SHIB could smash the mid-range level and aim at the range high of $0.00000912. But near-term bulls must clear the $0.00000888 roadblock to gain the upper hand. 

Conversely, bulls could falter at the mid-range, allowing sellers to enter the market if BTC falls below $27k again. Such a move could set SHIB to depreciate to $0.00000845 or the range low of $0.00000834.

Meanwhile, the RSI was near the neutral position after rising from the oversold zone, denoting increased buying pressure in the past few days. Similarly, the OBV registered an uptick, highlighting a surge in volume in the same period. 

Traders bearish on the short-term

Source: Coinglass

How much are 1,10,100 SHIBs worth today? 

At press time, more traders were shorting the meme-coin, with shorts positions dominating at over 57%. This reiterates a conviction that SHIB could face price rejection at mid or high range. 

In addition, liquidation data in the past 12 hours showed that more long positions worth $7k had been wrecked than short positions. This reiterates the bearish short-term outlook. However, the negative sentiment could change if BTC retests $28k.

Source: Coinglass


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.