Despite the recent bullish breakout of the Shiba Inu meme token (SHIB), it has struggled to gain momentum in the market.
SHIB is an ERC-20 token that has emerged as one of the main competitors to Dogecoin in the cryptocurrency world.
While technical analysis of the daily timeframe reveals conflicting signals for the SHIB coin rate, the price did break through the descending resistance line, which had been present since February, and completed the ABC correction near the Fibo support level of 0.786 correction.
Additionally, the daily RSI rose above the 50 mark on April 1. However, despite these positive signs, SHIB has failed to show significant growth after the bullish breakout and is currently trading near breakout levels, which is seen as a sign of weakness.
Should the SHIB rate break below the Fibo level of 0.786, the fall may reach $0.00000770. The shorter 2-hour chart supports these findings, showing that the price made a bullish breakout of the descending resistance line but failed to develop growth and returned to this line on April 3.
Furthermore, wave analysis indicates that the token completed the formation of the ABC correction structure before the bullish breakout.
As a result, the SHIB rate could potentially sink to $0.0000101 in the next 24 hours, and the price behavior in this area could set the movement vector for a further trend.
A strong bounce could take the market to $0.0000125, while a failure to turn around could send it down to $0.0000077.