Shiba Inu Faces Key Resistance at $0.00002871: Will It Break Through?

Shiba Inu (SHIB) presents a potential for doubling in price, given current market trends and sentiment. The cryptocurrency, priced at $0.000017 with a 24-hour trading volume of $205 million, shows intriguing growth potential despite a recent 2.67% dip.

$SHIB has a good potential to fill this gap. Target is around 2x from here. pic.twitter.com/E0Wxq5hZXB

— $SHIB KNIGHT (@army_shiba) July 29, 2024

The first level of resistance for SHIB is established at $0.00002871. This level has in the past served as a major obstacle that hinders any further promotion to a higher level. This resistance must be broken if SHIB is to have a bullish breakout.

Successfully breaking through $0.00002871 could pave the way for a potential price target around $0.00004000. This target aligns with previous price peaks and reflects a significant potential increase.

On the other hand, the immediate support level is at $0.00001600. This support has been tested multiple times and has proven robust, indicating strong buying interest at this level. The consistent bounce off this support demonstrates its critical role in sustaining the current price action. If SHIB maintains its position above this support level, it could set the stage for a bullish trend.

Source: X

Additionally, the recent price trend shows that consolidation has defined the recent price action for SHIB with the coin moving from $0.00001600 to $0.00002871. This phase of price consolidation makes it possible to conclude that SHIB is ready for a possible breakout.

The recent upward movement and positive projections further support the possibility of a bullish shift if the price can break above the key resistance level.

SHIB/USD 1-day price chart, Source: Trading view

Besides price levels, technical indicators provide more statistics about SHIB’s prospects. One-day RSI is at 45.43 which highlights that SHIB is in a zone of neutrality. This is an indication that the cryptocurrency is not overbought, nor oversold and there exists potential of reversal in price direction.

Further, the 1-day Moving Average Convergence Divergence (MACD) is below the signal line. This positioning signals possible short-term downward momentum.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

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