The Shiba Inu price appears to be stuck between two major hurdles. The situation of being stuck between these obstacles causes a long-term consolidation. SHIB failed in an attempt to cross the highest range. As a result, the price fell, losing its gains. However, there are more chances for bears to uncover a steep correction for the meme coin. So the price indicators are in favor of the bears and it is possible that this will cause a big drop.
SHIB price failed to break 3-month resistance and pulled back
The Shiba Inu price has tested the $0.00130 barrier three times in the past three months. The most recent attempt was on July 20 for the SHIB price to retest the aforementioned level. At that time, the meme coin experienced a 34% increase in value. Regardless, the bullish momentum has been weak. Therefore, at the end of the rally, the bears took over and pulled the Shiba Inu price back. This pullback means up to 21% drop in price. The value of SHIB has dropped as low as $0.0000103 where it is currently trading.
However, there is a possibility that the decline may not end here. As Cryptokoin.com reported, there is a FED meeting on Wednesday. In addition, there is a 0.75 or 1.0 rate increase on the FED’s table. The developments expected on Wednesday have the potential to make things even uglier for the Shiba Inu. Therefore, it would be beneficial for investors to be careful when trading in the volatile market under the influence of the FED.
Analyst reveals next levels for Shiba Inu
According to the analyst, there is currently only one stable level of support for SHIB. This support is located around $0.0000095. It also has the distinction of being the only barrier currently protecting Shiba Inu investors from bears. However, it is now possible to break this critical support. The Shiba Inu is likely to decline further due to the current price inefficiency. If this support is broken, the price will quickly move to $0.0000082 with selling pressure. That will result in a 23% decrease in total. Also, it is possible for the price to form a local bottom after a drop to this level.
However, a rise in price is also possible. The analyst says that for this, a daily candle close above $0.0000121 in SHIB price is required. If this happens, the Shiba Inu will have produced a higher peak. Thus, the decline thesis stated above will become invalid. In such a scenario, SHIB will be able to target higher levels. The meme coin will have the potential to rally to $0.0000139, which is an important resistance level.
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