thecryptobasic.com
Shiba Inu (SHIB) faced another rejection from a critical resistance area, which could pave the way for further bearish price developments.
Shiba Inu is retracing like other cryptocurrencies, as the global market cap drops to $3.75 trillion. The dog-themed meme coin dropped 4% on Thursday, extending its retracement over the past seven days to more than 7%.
Notably, Shiba Inu is on track for another significant weekly decline, having fallen by 6.87% in the previous week. The bearish momentum has seen it give back all its earlier gains in the month, dropping 14.5% from its intra-month high of $0.00001484 to the current price of $0.0000170.
The recent bearish trend also pushed Shiba Inu below the $0.00001361 resistance and back to the $0.00001230 support. Notably, the recent rejection was part of SHIB’s trend in a descending channel, where it is currently on a corrective wave after a rejection from the structure’s top. Shiba Inu attempted to break out on September 13 but failed to overcome the upper trendline resistance.
SHIB Support Levels to Watch
Meanwhile, analyst RTED_Investing shared a Shiba Inu prediction of the support levels to watch amid persisting bearish momentum. According to him, the $0.00001230 support level remains a key focus point, as its rejection would likely encourage a deeper correction.
At the time of writing, Shiba Inu has broken below the support area, trading at $0.0000170. According to the commentary, the subsequent support level to watch is at $0.00001100, which he identified as a potential buying area. From the current market price, this represents a 35% correction.
Importantly, this is not the lower support trendline of the descending channel, suggesting that prices could continue to decline if the broader market momentum remains bearish. A separate analysis from MMBTrader has highlighted a revisit of the support at $0.000010 and $0.00000600 as the worst-case scenario for Shiba Inu.
Nonetheless, the analysis also suggests that Shiba Inu would rebound extensively after this protracted period of price correction. It projected a pump to $0.00007730, representing a 354.7% price growth from here.