- Shiba Inu price seems to be lacking momentum after tagging the $0.0000083 to $0.0000092 inefficiency on October 13.
- This development could see SHIB slide lower and retest the $0.0000081 support level before triggering a 119% upswing.
- A daily candlestick close below $0.0000081 will invalidate the bullish thesis for the meme coin.
Shiba Inu price shows a lack of bullish momentum that has caused its recent run-up to reverse. As a result, SHIB is likely to undo the recent gains and slide lower before retesting a critical support level.
Shiba Inu price needs more oomph
Shiba Inu price slid 11% on October 13 to tag the Fair Value Gap (FVG), extending from $0.0000083 to $0.0000092. Due to the highly volatile event on the day, SHIB recovered the losses and closed higher than its opening price.
This development, while bullish, lacked follow-up. As a result, Shiba Inu price has been moving sideways. If Bitcoin price fails to stabilize and trigger a recovery, SHIB is likely going to continue shedding weight.
The key levels to watch include the FVG’s lower limit at $0.0000083, which is close to the Point of Control (POC) at $0.0000081, the highest volume traded level since May 2021. A retest of one of these levels would be a good place to accumulate.
If the market conditions have improved, investors can expect Shiba Inu price to trigger a reversal. From a market makers’ perspective, the equal highs at $0.0000179 would be a good place to start offloading.
This move would constitute roughly 119% in gains and is likely where the upside is capped for the meme coin.
SHIB/USDT 4-hour chart
On the other hand, if Shiba Inu price produces a daily candlestick close below the POC at $0.0000081, it will invalidate the bullish thesis.
In such a case, Shiba Inu price could slide lower and retest the $0.0000074 support level.
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
VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC
Bitcoin declined by 1% on Thursday following asset manager VanEck's forecast that the top digital asset will reach a $61 trillion market capitalization by 2050.
Ethereum Classic price sets for a rally following retest of key support
ETC edges higher by 2.3% and trades around $22.60 at the time of writing on Friday after testing a key support area the day before. On-chain data showing increased account growth suggests a bullish move ahead. Ethereum Classic price faced rejection by the daily resistance level of $25.13 earlier this week.
Celebrity meme coins lose their shine
Celebrity meme coins report by Jupiter Slorg on Thursday shows that these tokens have been in deep waters since early July after experiencing heavy growth in June. In a recent analysis, Jupiter Slorg revealed that celebrity meme coins are down by an average of 94% from their all-time highs.
Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit
Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation.
Bitcoin: Will BTC manage to recover from recent market turmoil?
Bitcoin recovers to $67,000 on Friday after finding support around $63,500 a day before. Still, BTC losses over 1.50% on the week as Mt. Gox persists in transferring Bitcoin to exchanges.