Shiba Inu Teeters on the Brink: Will Long-Term Support Hold?
Date: 2024-01-24 Author: Dima Zakharov Categories: BLOCKCHAIN
Shiba Inu, one of the most talked-about cryptocurrencies, is currently facing a critical juncture in its price movement. The crypto community has been closely monitoring SHIB's performance as it grapples with the question of whether the long-term support can withstand the recent downturn.
Technical Analysis of the Weekly Timeframe
Back in November, SHIB managed to break above a descending resistance line that had held for almost 500 days. This breakthrough propelled its price to reach a peak of $0.000012. However, since then, SHIB's price has been on a downward trajectory, with multiple failed attempts to overcome resistance.
The weekly Relative Strength Index (RSI) is leaning towards a bearish sentiment but has not confirmed the trend direction yet. The indicator is declining but is still holding above the 50 level.
Price Forecast for SHIB: How Long Will the Downtrend Continue?
The technical analysis of the daily timeframe aligns with the weekly outlook. It reveals that Shiba Inu has been trading within an ascending parallel channel since June 2023. This upward movement led to a peak of $0.0000120 in December.
After a brief period of trading above the $0.0000092 range, SHIB dropped below it. If the decline continues, the asset's price may fall by 12% to the channel's support line at $0.00000800. The daily RSI supports this scenario as it has dropped below 50 and continues to fall.
Nevertheless, a recovery above the $0.0000092 range could trigger a 45% surge towards the channel's resistance line at $0.0000124.
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