According to U.Today, Shiba Inu, a popular cryptocurrency, is currently showing signs of a weak reversal, often referred to as a 'dead cat bounce'. There is a high likelihood of Shiba Inu losing momentum and reversing downwards, with the overall market conditions playing a decisive role in this potential outcome.
In recent trading sessions, Shiba Inu has demonstrated some upward momentum from its lows. However, this trend lacks the robustness seen in previous strong rallies. The volume of these price changes has been notably low, suggesting a lack of substantial buying interest. This situation often serves as a warning that the asset lacks sufficient support at this time.
Currently, Shiba Inu is trading near the $0.00002264 mark, struggling to surpass the immediate resistance level at $0.00002384. This resistance level is significant as it has previously served as both support and resistance, making it a crucial price point for the asset. If Shiba Inu can maintain a breakout above this level, it may aim for the next resistance near $0.00002447.
However, the possibility of a further decline cannot be overlooked. Shiba Inu is showing signs that the lows around $0.00002175 may not hold if selling pressure intensifies. Such a breakdown could lead to Shiba Inu testing even lower supports, potentially around $0.00002000, a level critical for the cryptocurrency's foreseeable future.
The broader sentiment around Shiba Inu reflects the general risk currently prevalent in the market. Investors are exercising caution, avoiding assets considered risky, especially meme coins like Shiba Inu. The overall market demand for such assets is currently very low.
