Shiba Inu Price Analysis: SHIB Token Retraced To 0.5 FIB Level, Will It Resume Its Rally Or Dip More?

Shiba Inu Price Analysis: SHIB Token Retraced To 0.5 FIB Level, Will It Resume Its Rally Or Dip More?

The meme star Shiba Inu is still holding onto the higher levels of its chart. A piece of recent news that has interested the SHIBA investors is that AMC Entertainment is considering the SHIB token as a payment option at the company’s theaters. As the overall trend for this token is still bullish, Will it continue this rally?

Key technical points:

  • The SHIB token trying to sustain above the 0.5 FIB level
  • The daily RSI chart shows a significant drop in its value
  • The intraday trading volume in the SHIB token is $3.5 Billion, indicating a 44% loss
  • Source- SHIB/USD chart by Tradingview

    On October 27th, the SHIB token made a New All-Time High of $0.00008734; however, the price couldn’t hold to this level and entered a retracement which plunged this token to the 0.5 Fibonacci retracement level.

    The SHIB price is still trying to sustain above this support level. The crucial EMAs suggest the token’s uptrend remains intact as its price is trying above the 50 and 100 EMA.

    The Relative Strength Index value is 51 and is trying to hold above the neutral line(50). However, the retracement phase in price action has drastically impacted RSI as it has shown a significant drop in its value.

    SHIB/USD Chart In The Daily Time Frame

    Source- SHIB/USD chart by Tradingview

    The SHIB token displays a descending trendline which acted as dynamic resistance to the price. On November 11th, the token price tried to break out from this resistance, encouraging a bullish sentiment in this token.

    However, the price has not yet provided a proper follow-up, and the weakness in the RSI cannot be ignored. Therefore, for a better confirmation for a rally, the crypto traders can wait for the price to reclaim the crucial resistance level of $0.00006270 before initiating a new long position in the SHIB token.

    Source