 ▲ Shiba Inu (SHIB), Bear Market / AI-Generated Image |
Shiba Inu has been unable to withstand continued selling pressure, retreating to levels last seen in late 2023 and engaging in a desperate պայք to confirm a bottom.
According to cryptocurrency-focused outlet U.Today on March 5 (local time), Shiba Inu (SHIB) has been in a months-long downtrend and is currently trading around $0.0000055, facing the risk of setting new lows. Positioned below most major moving averages, SHIB remains trapped in a descending channel without finding short-term recovery momentum. A recent breakdown from a small triangle pattern pushed the price toward a critical support zone, intensifying market fear.
Technical analysts point to $0.0000050 as the primary level where SHIB could establish a first bottom. As a psychological support line, stabilization of the downtrend and an inflow of buying interest at this range could signal a short-term consolidation phase. However, given that repeated descending triangle patterns in the past have consistently resolved to the downside, investors remain cautious.
A stronger rebound is anticipated in the range between $0.0000045 and $0.0000048. This area, which saw active trading during previous market cycles, could present an attractive entry opportunity for long-term investors seeking to buy the dip. If SHIB reaches this zone and begins forming higher lows, it may be interpreted as a decisive reversal signal ending the downtrend.
Shiba Inu’s last line of defense lies near the strong support level around $0.0000040. In the event of a capitulation phase marked by the release of remaining sell pressure, the price could plunge rapidly to this level. Such extreme conditions, accompanied by heavy trading volume and signs of accumulation, can sometimes lay the groundwork for a long-term trend reversal.
Currently, SHIB remains stuck in a downward trend amid a lack of clear bullish catalysts. Market caution is expected to persist until the price firmly establishes itself above key support levels and forms meaningful higher highs. Investors are closely monitoring potential breakdowns of crucial support zones and changes in trading volume while adopting prudent response strategies.
*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses resulting from decisions based on this content. The information provided should be interpreted for informational purposes only.*