Shiba Inu (SHIB) price has been in the spotlight recently, but its rally seems to have hit a roadblock. This has prompted analysts to dig deeper into market trends, on-chain data, and technical indicators to understand the current situation.
The focal point of SHIB’s price action is a crucial range between $0.000024 and $0.000026. It was observed that 58.91 trillion SHIB were purchased by 63,840 addresses at an average price of $0.000025, according to IntoTheBlock data. However, as SHIB neared the 58 trillion token threshold, the momentum started to fade, and bullish sentiment gave way to resistance.
Following its peak at $0.00002684 on May 22, SHIB experienced a steady decline for three days. Although there was a temporary rebound, selling pressure resumed with SHIB struggling to stay above the daily simple moving average (SMA) of 50 at $0.0000245 in the current trading session.
At the time of writing, SHIB had given up its previous day’s gains, recording a 0.08% decline in the last 24 hours, with a price of $0.00002482.
The exact reason for the slowdown in SHIB’s price is unclear, but various market dynamics and factors might have contributed to it. This deceleration could indicate that the market is taking a pause to consolidate gains and assess the next move. Some traders might be taking profits, while others could be waiting for more definite signals before taking any action. Additionally, the overall sentiment in the broader crypto market can significantly impact individual token performance.
To regain its upward momentum, SHIB would likely need to surpass the 58 trillion SHIB threshold amidst renewed buying interest. Furthermore, monitoring broader market movements will be crucial in determining SHIB’s next move.
In the event of renewed market momentum, a break above the $0.00002684 level may be necessary to confirm the start of an upward move for SHIB. If this occurs, the next target for SHIB could be the $0.00003285 level. However, to avoid further declines, SHIB must maintain a position above the daily SMA 50 at $0.0000245.
Should SHIB drop below the daily SMA 50 level, support levels are anticipated at $0.00002334 and $0.00002155, providing potential areas for buyers to enter the market.