Shiba Inu (SHIB), the popular dog-themed cryptocurrency, finds itself stuck below critical resistance levels after suffering a significant drop since early December.
Despite attempts to rebound, SHIB faces two massive supply walls that hinder its progress toward reclaiming the $0.00003 price territory.
Key Resistance
Shiba Inu faces fierce resistance at two distinct price levels:
- Smaller Supply Wall ($0.000023–$0.000024)
Around 42,310 addresses bought 60.44 trillion SHIB in this range. This area acted as a barrier during the Christmas rally, causing an 8% pullback on Boxing Day. - Largest Sell Wall ($0.000024–$0.00003)
This region houses 208,010 addresses holding 70.35 trillion SHIB. The sheer volume makes it a formidable obstacle. Previous attempts to breach this level resulted in sharp declines, including a 15.30% drop on December 9 and a 16.8% three-day crash earlier.
Price Action
Shiba Inu is currently trading at $0.000021066, down 0.26% in the past 24 hours. While it held above the $0.00002 support level, SHIB’s failure to push past $0.000025 highlights the dominance of bearish pressure.
Bearish Signals
Whale Activity
Over the past two days, whales have contributed significantly to selling pressure:
- Dec. 29: 92.7 billion SHIB sold by large whales.
- Dec. 30: 133.98 billion SHIB sold, intensifying the bearish grip.
Monthly Decline
SHIB ended December with a 21.19% decline, erasing much of the 49.47% gain it achieved in November. The broader bearish market and large sell walls have stifled recovery efforts.
Path Forward
Breaking above $0.00003 is essential for SHIB to reclaim its bullish momentum. However, achieving this requires overcoming massive resistance zones and reversing the bearish trend.
Potential Scenarios
| Scenario | Price Target | Key Support/Resistance |
|---|---|---|
| Bullish | $0.00003 | $0.000023–$0.00003 zones |
| Bearish | Below $0.00002 | $0.00002 support |
Shiba Inu’s chances of reaching higher price targets, like $0.000045, remain bleak unless the market sees a strong rebound. The broader crypto market’s health will also play a critical role in SHIB’s recovery prospects.
For now, traders and investors should monitor whale activity, market sentiment, and SHIB’s ability to breach key resistance levels. Without a decisive move above $0.00003, Shiba Inu may remain trapped in its current range.
