During the last few days of 2021, the SHIB token price attempted a bullish breakout from the narrow-range resistance of $0.000038. However, the overwhelming sellers pushed the price inside the range again and eventually towards the $0.00003 support. The price even broke this bottom support trying to follow a falling channel pattern
Main technical points:
- The Stochastic RSI shows a bullish crossover in the oversold zone
- The 24-hour trading volume of the Shiba Inu token is $951.5 million, showing a 13% loss.
The source-Tradingview
Previously, when we mentioned an article about Shiba Inu token, the pair forged from the $0.38 resistance. while it represents a period of consolidation between this level and the $0.00003 support. The trapped bear sold the price back to the $0.00003 support, hoping for another bullish reversal.
However, the bloodbath in the crypto market breached this bottom support, leading to a crash. Furthermore, the technical chart also shows a falling wedge pattern in the daily timeframe chart leading the correction phase in the SHIB token.
According to the key DMAs (20, 50, 100 and 200), the SHIB token price is still bullish as the price is moving above the 200 DMA. However, the bearish divergence between the 50 and 100 EMA might have attracted more sellers to the coin.
SHIB Bears Token Sinks $0.0003
The source- Tradingview
Following the channel pattern, the SHIB token price is slowly charging into the support trendline. Along the way, the price broke the psychological support of $0.00003 and is currently attempting to retest new resistance for sufficient demand.
If the price sustains below this level then the correction period for the SHIB token will continue.
The daily RSI Stochastic moving in the oversold zone indicates strong selling pressure in the market. However, the K and D lines have recently provided a bullish crossover, supporting a retracement to retest the overhead resistance.
The traditional axis level shows;
- Resistance: $0.000028 and $0.000031
- Support levels: $0.000245 and $0.00002.