Will SHIB Breach 200 Day EMA Support Zone?

SHIB crypto chart illustrates a correction phase and persists in forfeiting the gains, confirming a downtrend. Moreover, the price action denotes a lower low formation and suggests a drop below $0.000008800 based on the retracement move. Additionally, the Shiba Inu crypto delivers seller dominance and has declined the gains for the past sessions.

SHIB crypto price is close to the make-or-break level of the 200-Day EMA near $0.000009000, which, if it breaks, will push SHIB to unlock a down move and glance bearishness. The price action conveys selling pressure and symbolizes a rejection from the downward-sloping trendline. Additionally, Shiba Inu crypto may boost the short-term correction toward $0.000008000 in the upcoming sessions. Per the Fibonacci retracement levels, Shiba Inu price has breached the 38.2% zone and is heading to the 23.6% level.

The cryptocurrency price was $0.000009014 at press time, with an intraday drop of 0.60%, showing a pause near the 200-Day EMA. Moreover, the trading volume increased by 2.80% to $63.23 Million, highlighting retracement. The pair of SHIB/BTC was noted at 0.000000000211 BTC, and the market cap is $5.32 Billion. Analysts are bearish and suggest that the Shiba Inu price will stay in a downtrend and may reach $0.000008000 soon.

SHIB On Daily Charts Reveals Correction 

SHIB Price Prediction: Will SHIB Breach 200 Day EMA Support Zone?
Source: SHIB Price Chart By TradingView

On the daily charts, Shiba Inu crypto price delivered a correction and slipped to the 200-Day EMA mark, signifying follow-on selling momentum and distribution from the highs. The price action indicates an aggressive selloff, which led to buyers being trapped and stated the short buildup activity. However, the crypto still held the 200-Day EMA which gives hope for the investors who held their positions.

The Relative Strength Index (RSI) curve stays in the oversold region and shows a negative divergence, replicating bearishness on the chart. Moreover, the Moving Average Convergence Divergence (MACD) indicator shows a bearish crossover and has formed red bars on the histogram, anticipating further decline in the upcoming sessions.

SHIB On Weekly Chart Displays Rejection From 100-Day EMA

SHIB Price Prediction: Will SHIB Breach 200 Day EMA Support Zone?
Source: SHIB Price Chart By TradingView

On the weekly charts, SHIB price persisted in facing rejection from the falling trendline and has reverted from the 100-Day EMA mark in the past number of sessions. However, the crypto formed a double-bottom pattern near the lows of $0.000007000 but failed to register a breakout above the neckline of $0.000012000.

Summary

SHIB price slipped from the high of $0.00001200 and retested the 200-Day EMA, replicating the correction in the recent sessions. Moreover, the price action signifies the downtrend, is approaching the bearish trajectory, and is likely to move toward $0.000008500 followed by $0.000008000 in the subsequent sessions.

Technical Levels

Support Levels: $0.000008800 and $0.000008500

Resistance Levels: $0.000009200 and $0.000009500

Disclaimer

The views and opinions stated by the author or any other person named in this article are for informational purposes only and do not constitute financial, investment, or other advice. Investing in or trading crypto or stocks comes with a risk of financial loss.

Source: https://www.thecoinrepublic.com/2024/02/04/shib-price-prediction-will-shib-breach-200-day-ema-support-zone/