The Shiba Inu is currently trading sideways with a declining trend line. The coin has also managed to consolidate above an important support area, but the upside momentum is very limited. SHIB is looking at a brutal selloff in the coming weeks, but this can be avoided if certain conditions are imposed in the market.
key points –
SHIB has actually finished a consolidation phase without breaking up.
This shows weakness, and the coin could decline below the $0.00000101 support level.
If this happens the coin will be wiped out 40% of its current value.
Data Source: TradingView
How can SHIB survive this fall?
Very difficult to see any decisive Bullish run for SHIB right now. The market in general has not been in favor of meme coins. In fact, after the crash in May, the SHIB has recovered very modestly compared to other coins. It has traded sideways along a declining trend line for the past two weeks.
This shows that there is no momentum for any real bull run. Therefore, in order to avoid a selloff, Mem coin needs to hold the $0.00000101 support. So far, SHIB is slightly above it, and we haven’t seen any bearish pressure.
However, as market conditions change, a drop below $0.00000101 may occur in the next week or so. When this happens, it will trigger a massive selloff that could drop SHIB by around 40%. The recovery from this fall may not be as quick as we would like.
What happens to SHIB investors?
Just wait and watch the game. The biggest test will be how long the coin holds the bears above $0.00000101.
If indeed SHIB is able to close the week above this price, the bulls can take a breather. But even so, the upward movement for SHIB is highly limited at the moment.