Shiba Inu’s Price Hits a Crossroads – What’s Next?

Shiba Inu: Bearish Signals and the Upcoming Death Cross

Shiba Inu (SHIB) is facing increasing bearish pressure as its price continues to struggle, and the formation of a death cross is now imminent. This technical indicator occurs when the 50-day exponential moving average (EMA) crosses below the 200-day EMA, signaling a potential long-term downtrend. With this formation approaching, many fear that SHIB could experience a significant decline.

The recent price action of SHIB has been primarily dictated by bears rather than bulls, with the asset failing to break above resistance levels. The key level to watch is $0.000016, which has held as support. However, if this level is breached, SHIB could test lower support levels, such as $0.00001450. In the worst-case scenario, the price could even retrace further to $0.00001300.

Can SHIB Avoid the Death Cross?

Despite the bearish outlook, SHIB is not entirely doomed. A surge in buying activity could help the asset avoid the death cross and shift the market sentiment. A clear push above the $0.000018 resistance level would indicate that bulls are intervening to protect SHIB from further declines. If SHIB manages to break above $0.000020, it would invalidate the bearish forecast and start to recover.

However, the recent downtrend of SHIB, coupled with the broader market uncertainty, makes a recovery difficult. Each rally attempt has been thwarted by strong resistance, and the asset has failed to regain upward momentum. SHIB’s future largely depends on its ability to hold price levels above the 50 and 200-day moving averages. Without a sudden buying surge, a downward trend seems likely.

In conclusion, SHIB finds itself at a critical juncture. If the asset cannot regain bullish momentum, it could face a substantial decline in the near future.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.