- Shiba Inu price dropped in some nervous trading on Wednesday.
- SHIB jumped higher on Thursday morning in the ASIA PAC session after Chinese PPI numbers.
- Traders and markets are holding their breath ahead of of US CPI numbers later this Thursday.
Shiba Inu (SHIB) price action tanked 1.5% in late trading on Wednesday after markets got shaken by several comments from both ECB and Fed members. It has become clear that division is creeping into the US Federal Reserve's decision-making, which could spell trouble and bite its credibility. Markets recovered quite quickly, and SHIB jumped 5% after Chinese Producer Price numbers showed a firm cooldown in the economy with a negative print, propping up expectations of a lower US inflation number on Thursday.
Shiba Inu price set to hit $0.00001000?
Shiba Inu price action is showing mixed signals as markets are starting to get nervous about positioning themselves due to several types of information coming out. Just an oversight of what traders already had to digest: Fed hawks are demanding more hikes and a terminal level above 5% throughout 2023; Fed minutes showed a vote split with three in favor of no hike at the next meeting; equities are continuing their recovery; and the US Dollar continues to weaken. These are just a few elements traders are trying to price in. Together they explain why markets are shaky when new comments could break the current recovery rally at any moment.
SHIB is thus a simple print of those elements mentioned above and a great example of proof that technical levels work. On Wednesday, the monthly pivot acted as support for a bounce back up intraday, and this morning the top of Tuesday got tested near $0.00000966. Expect the US inflation print on Thursday afternoon to be the best possible catalyst to break the current double top and ideally close above $0.00001000.
SHIB/USD daily chart
The rally has been a bit quick, and the last couple of days have triggered quite a lot of volatility. That has triggered a substantial spike in the Relative Strength Index (RSI), which has been hitting the overbought barrier. This could scare off traders from entering right now. Should US inflation this afternoon fall in line or even jump higher, expect to see a sharp decline back to $0.00000800.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
XRP funding rates flashes negative, eyes $2.17 following 4% decline
Ripple's XRP declined 4% on Friday following a decline in its funding rates. The remittance-based token could decline to test the $2.17 support level if the crypto market decline extends.
Pro-crypto Senator Lummis likely to chair potential crypto subcommittee
In a post on Thursday, Fox Business reporter Eleanor Terret unveiled the Senate Banking Committee's latest plan to kick off a new subcommittee committed to crypto, likely to be headed by Bitcoin strategic reserve advocate Senator Cynthia Lummis.
Lack of Bitcoin allocation could be risky for nations in 2025: Fidelity
Fidelity Digital Assets' Look Ahead report for the crypto market in 2025 highlights key trends expected for the year, including increased Bitcoin adoption by governments worldwide, broader use cases for stablecoins and more app blockchain launches.
Crypto Today: BTC traders hold $90K support as SUI, LTC, TIA see green
The cryptocurrency market’s losing streak entered its third day; aggregate market cap declined 10.9% to hit $3.1 trillion. Bitcoin price stabilized around the $91,800 area as bulls moved to avoid further downside.
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy
Bitcoin price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot ETFs in January and the reduced supply following the fourth halving event in April.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.