Shiba Inu (SHIB) ‘On Zero’ Breakthrough Incoming

Once more, Shiba Inu is attempting what traders call an “on zero” breakthrough, which is a price move above a critical barrier with little to no volume behind it. It is flirting with a key resistance level around $0.0000145 USDT. Although on the surface this might appear to be a bullish breakout, it lacks the actual momentum required to support a rally, and historically such moves have a tendency to promptly reverse. 

Shiba Inu’s Breakout Potential

On the daily price chart, SHIB has recovered well from its most recent correction and is currently putting pressure on the 200-day moving average, which is a significant resistance level. Although it does not support an overbought surge, the Relative Strength Index (RSI) is close to 56, a neutral to slightly bullish level that allows the asset to move higher. But the biggest issue is the volume — or rather, the absence of it. 

Declining volume bars show that trading activity has collapsed, despite the green candles pushing toward resistance. It is a serious red flag. SHIB’s rally is vulnerable to sell-offs in the absence of participation from bulls eager to drive the price higher, particularly if large holders or short-term traders choose to lock in gains.

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No Volume, No Fuel

SHIB may be in danger of a failed breakout based on the current setup. The asset is more likely to be rejected at resistance and drop back toward the 50-day or even 100-day moving average (orange and blue lines) which are located around $0.0000136 and $0.0000130, respectively, unless there is an abrupt surge in volume or marketwide bullishness.

SHIB, in other words, is lingering at a perilous intersection. Although it might technically break above the resistance level of $0.0000145, a genuine breakout necessitates conviction — but the volume side is not showing that conviction. In the meantime, watching this specific breakthrough could be the only viable strategy right now.