SHIBA INU's SHIB token fell 0.21% over the past 24 hours to $0.00000845, extending its decline over the past week to 1.32%. SHIB has been pressured lower recently after failing to break out above resistance. In this in-depth technical analysis, we'll examine the key levels and indicators to watch for SHIB in the days ahead.
To briefly summarize, SHIB has pulled back 21.43% in the past month but remains up 8.93% in the last 60 days. However, for 2022 year-to-date, SHIB is still down 37.47% amid the broader cryptocurrency bear market. Now let's analyze the critical support and resistance levels for SHIB.
Evaluating SHIB's Price Chart And Indicators
Analyzing the daily price chart, SHIB has returned to support around $0.000008 after rejecting further upside near $0.000010 repeatedly over the past couple months.
The 50-day moving average is angling lower and at risk of a bearish cross below the 200-day MA, which would likely spark additional selling pressure. The relative strength index (RSI) is struggling to hold above 50, reflecting fading upside momentum.
However, the moving average convergence divergence (MACD) remains flat and holding above the signal line for now. This hints bulls are still defending support, but upside appears limited in the near-term.
To shift momentum back in favor of buyers, SHIB needs to take out resistance at $0.000010 and push towards it's 2022 high near $0.000014. Failing to hold the $0.000008 level could see a drop back to $0.000005.
SHIB Price Prediction: Rangebound Action For Now
Given the mixed technical signals, I expect SHIB will trade rangebound between $0.000008 support and $0.000010 resistance over the coming weeks. The flat MACD indicates limited bullish or bearish momentum either way.
However, the fading RSI and potential death cross in the moving averages signal upside is limited. I expect SHIB will struggle to break out above $0.000010 resistance without a major catalyst.
But downside also appears relatively limited with bulls defending $0.000008 support. A drop below that level would likely extend losses towards the 2022 low around $0.000005 before SHIB finds renewed demand.
Should You Buy SHIB Now Or Wait?
Given the lackluster price action, is now a good time to buy the dip in SHIB? Or is it better to wait on the sidelines for a clearer direction to emerge?
For long-term investors, slowly accumulating SHIB around $0.000008 - $0.000009 makes sense if you believe in the project's future potential. This helps dollar cost average into a position for the next bull cycle.
However, for short-term swing traders, it's likely wisest to wait for a break above $0.000010 before entering any new bullish trades. Without a breakout, upside appears limited in the near-term for SHIB.
What's The Future Price Outlook For SHIB?
Looking further ahead, what kind of recovery could SHIB see in 2023 and beyond after cryptos were pummeled in 2022? Are the glory days over or just beginning for Dogecoin-alternative SHIB?
Given expanding utility for SHIB via the Shiba Inu ecosystem, I expect SHIB can reach $0.00005+ in 2023 during peak bullish momentum. Long-term, if crypto adoption accelerates, SHIB has upside potential towards $0.0005+ in future bull markets.
Key drivers will be new exchange listings, development of Shibarium Layer 2, and overall return of enthusiasm for high-risk altcoins. However, SHIB also faces competition from DOGE and other meme coins that dilutes its market share.
To summarize, the technical landscape indicates SHIB will trade rangebound in the near-term between $0.000008 support and $0.000010 resistance. Long-term holders can accumulate on dips, but traders may want to wait for a break above $0.000010 before going long.
Upside appears limited until SHIB can start setting higher highs again. But if bullish momentum returns, SHIB could target $0.00005+ in 2023 with paradigm-shifting potential long-term. As one of the most prominent meme coins, SHIB still has plenty of upside if key levels are reclaimed.