Prominent meme coin Shiba Inu has held a crucial support zone, sparking speculations of a bearish trend reversal to greater heights.
While Shiba Inu has been in a clear consolidatory phase, recent analysis suggests the token “still lives.” Notably, SHIB is down 4.3% in the past seven days, 20.3% over the last 30 days, and 52.7% since the start of the year, clearly indicating a downward trend.
Shiba Inu Holds Key Support
Nonetheless, pseudonymous analyst “ForexDremVantage” has insisted that all hope is not lost for Shiba Inu bulls. He shared that the meme coin has held a critical support zone around $0.000010. As a result, prices could still rebound.
Notably, several analysts have highlighted the importance of this level to Shiba Inu, with the consensus being that the token can target higher prices as long as it keeps holding. A particular commentary called this accumulation around the support since March “boring,” claiming that such action typically precedes an explosive move.
Key Level for Next SHIB Leg Up
Meanwhile, the latest commentary from ForexDremVantage emphasized that another demand zone lies around the $0.0000119 region. It also mentioned that while the support area is strong, it also has a large supply. As a result, bouncing to the area would require sufficient demand.
But the analyst predicted Shiba Inu would seek that support, which marks a 20% increase from the current market price of $0.00000992. He maintained that reclaiming the zone would mark a resumption of an upward push for SHIB.
However, this is just one of the several areas of potential selling pressure for Shiba Inu. Should the price start moving upwards, the next resistance point is the descending trendline, which has impeded higher prices for the meme coin since it dropped from May’s high of $0.00001765.
The accompanying chart shows that the trendline currently lies around $0.000013, representing a 31% growth from here. Breaking above the trendline would see Shiba Inu target the “trend reversal zone.”
This Zone Would Mark a Momentum Shift for Shiba Inu
Additionally, the market watcher highlighted an area that will shift momentum from bearish to bullish for Shiba Inu if it attains it. This trend reversal area lies at the May 12 peak price of $0.00001765, a 78% rise from here.
Breaking above the crucial resistance would confirm bullish momentum and pave the way for rallies to greater heights. Meanwhile, the chart also identified levels at $0.000020 and $0.000025 as subsequent targets if SHIB sustains the price rally.
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