Shiba Inu Drops 13% From March High, Analysts Watch Key Levels

Shiba Inu, the second-largest meme coin, is currently experiencing a recovery phase, with analysts closely monitoring key resistance and support levels that could determine its next move toward an all-time high (ATH).

According to a detailed analysis by a crypto analyst known as ‘MonoCoinSignal’ on TradingView, Shiba Inu's price is currently at $0.000013, reflecting a sharp decline from its previous high of $0.000015 on March 10. The analyst has identified several critical levels that could influence the meme coin's trajectory.

On the 1-hour chart, Shiba Inu is currently testing a key support zone around the $0.000011 level. If the downtrend continues, the meme coin is expected to fall toward additional support levels at $0.0000105 and $0.000010. Currently, Shiba Inu’s price is trading below the short-term Moving Averages (MA), solidifying its bearish position within this time frame. Its Relative Strength Index (RSI) is also approaching oversold territory, suggesting a potential price bounce if buying pressure picks up.

In a bullish scenario, MonoCoinSignal highlights three key resistance zones to watch out for: $0.0000127, $0.000014, and $0.000015. The analyst suggests that these levels could trigger a strong rebound for the meme coin. If Shiba Inu can hold above the support level at $0.000011, it could stage a rally to the aforementioned resistance zones between $0.0000127 and $0.000014. However, due to the market’s recent declines, any gains experienced by the price will be limited and short-lived.

Shiba Inu’s bearish performance aligns with the broader crypto market downtrend, with numerous meme coins and altcoins taking a hit after Bitcoin crashed below $85,000. The analyst mentions that Shiba Inu’s current market trend highlights a bearish position from the medium to long term. With recent social media reports revealing an increase in SHIB token burns, the analyst believes that the gradual supply reduction could eventually fuel a price increase in SHIB over time.

On the flip side, if selling pressures trigger a break down below the support level at $0.000011, Shiba Inu could slide towards new lows around $0.00001051 or $0.00001001. While Shiba Inu’s recent token burns highlight a positive long-term outlook, the analyst suggests that their impact is unlikely to trigger a significant surge in this short time frame. With the SHIB price facing both bullish and bearish possibilities, investors and traders are urged to monitor the market for catalysts that could either positively or negatively influence the meme coin’s next move.