Shiba Inu (SHIB) Already Recovered 37%, What’s Next?

Despite uncertainty in the crypto market, Shiba Inu continues to retain most of its price gains this week. At press time, SHIB shows a notable 50% drop in its trading volume, reflecting hesitation from traders in the market.

Even with the slight retracement today, the asset maintains its price level as the bulls seek to continue its recent rally. Although new memecoin projects like PEPE have dominated the memecoin season, their initial gains seem to be fading as the more established memecoins return to relevance. 

Shiba Inu Faces Uncertainty. What’s Next For The Token?

SHIB started the month trading at $0.000008464 on June 01. However, the bulls pushed its price down to $0.000007994 on June 5. SHIB has remained at the $0.000007 price level as it seeks to move into an uptrend and reclaim the $0.000008 price level. 

Bears Battling To Force Downtrend In SHIB’s Price Today

SHIB is in a sideways trend today, reflecting market indecision as the bulls and bears seek to control its price. SHIB’s Moving Average Convergence/ Divergence (MACD) is currently above its signal line, a bullish sentiment. 

The MACD’s current native value reflects the bearish pressure on the asset today. Notably, its Histogram bars are green, confirming the bullish outlook. Also, the Relative Strength Index is 38.03, close to the oversold region of 30. 

However, the RSI is moving sideways, displaying neutrality and the possibility of the price going either way, depending on how SHIB reacts in the market.

Meanwhile, SHIB is still trading below its 50-day and 200-day Simple Moving Averages (SMA), with bearish sentiment in the long and short term. A closer look at the indicator suggests that although SHIB has performed well in the last few days, the current rally might end soon.

Therefore, SHIB will likely enter a bearish phase before it rallies again. However, the rally will resume if SHIB overcomes its nearest resistance level.

Shiba Inu Support And Resistance Levels

SHIB is currently trading close to its nearest resistance level of $0.00000724. The Support levels of $0.00000652 and $0.00000680 have proved critical to sustaining its price.

A break above the $0.00000724 resistance will likely result in a rally, driving SHIB to the $0.00000794 resistance level. However, it will likely experience strong bearish pressure above the $0.00000724 resistance, similar to its price pattern in the last two days. 

What Is Behind The Recent Price Surge?

SHIB’s recent price recovery is likely a result of recent developments within its ecosystem, such as Shibacals. Also, according to recent data from Shibburn, there is an increase of over 1027.94% in SHIB burns in the past 24 hours. 

It implies that fewer Shiba Inu (SHIB) Already Recovered 37%, What’s Next?tokens are in circulation; thus, the value of the tokens is likely increasing due to this burn mechanism.