Shiba Inu Price Analysis: SHIB Meets a Critical Support but is Correction Over?

Key Support level: $0.000035; $0.000032;

Key Resistance level: : $0.000039; $0.000044;

SHIB’s latest drop in price found support on the $0.000035 level, and the price appears to approach the end of this bullish descending wedge highlighted in blue on the chart. The big question is if SHIB can break away and rally to end the correction.

A first signal that this could be taking place is if SHIB will manage to turn the $0.000039 resistance into support. If that happens, there is a good chance SHIB can reverse course.

Chart by TradingView

Technical Indicators

Trading Volume: The volume decreased along with the price. This is a bullish indicator. Moreover, the last attempt to break away from the wedge was met with a quick increase in volume, showing that interest in SHIB remains high once a rally starts.

RSI: The RSI remains bearish, and on the 12-hour timeframe, it nearly went under 30 points. This is not good, but if the RSI manages to complete a higher low, then a recovery becomes likely.

MACD: The MACD on 12-hours continues to be bearish, but the histogram is very close to making a cross on the positive side. If confirmed, this would be the first time this happens since the start of November.

Chart by TradingView

Bias

The bias on SHIB is bearis until a break above the blue wedge happens.

Short-Term Prediction for SHIB Price

SHIB’s price may continue to consolidate in the apex of this formation for a few days before a breakout can be attempted. The MACD histogram and decreasing volume on this latest drop hint at a possible rally in the future, but it is too early now to confirm this.