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What’s next as Shiba Inu reverses 2023’s gains

2min Read

Despite December lows being a potential inflection point for SHIB, a weak BTC can ruin it.

What’s next as Shiba Inu reverses all 2023 gains

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

  • Higher-timeframe was bearish with a downtrend momentum. 
  • The futures market was slightly bearish at press time.

The ongoing bearish sentiment in Q2 has cleared all gains Shiba Inu [SHIB] made in 2023. It has dropped from $0.00001575 in mid-February to 2022 December’s low of $0.00000780 as of press time. 


How much are 1,10,100 SHIBs worth today


Based on the market structure, SHIB was firmly bearish with a downtrend momentum on the daily chart. Although it could flip bullish if it closes above $0.00000968, a weak Bitcoin [BTC] below $26.6k could make such a feet difficult. 

When will bulls see reprieve?

Source: SHIB/USDT on TradingView

In early May, SHIB consolidated between $0.00000839 – $0.00000903 (the parallel channel, cyan). But it breached the parallel channel’s range low on 5 June. The extended drop has hit a confluence area of a Fib level/December lows and the descending channel’s (white) mid-range.  

The descending channel captures SHIB’s downtrend since mid-February. Although SHIB has hit a potential inflection point at the December lows of $0.00000780, a weak BTC could dim the chances of a solid corrective rebound. 

It is worth noting that SHIB rebounded strongly at $0.00000780 in December 2022 and June 2022. The 50% Fib level of $0.00001178 was the immediate target in both 2022 recovery scenarios. 

A repeat of the 2022 trend is feasible if BTC surges beyond $27k and SHIB flips bullish by closing above the 23.6% Fib level. 

However, a weak BTC below $26.6k could crack SHIB’s $0.0000780 price floor. Such an extended plunge could ease at the range low of the descending channel or $0.00000593. 

Bearish sentiment persists

Source: Coinglass


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


The overall exchange accounts between long and short positions showed short positions at 53.98% dominance on the 12-hour timeframe as of press time. 

It means more accounts were bearish on SHIB on the futures market, which could dim strong recovery prospects in the near/mid-term. Investors should track BTC price action alongside next week’s FOMC meeting announcement for optimized trades. 

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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.
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