- Shiba Inu’s market structure on the daily timeframe remained bearish.
- Dipping daily trading volume showed buyer reluctance to challenge the price slump.
Shiba Inu [SHIB] has been trading within the $0.00001019 and $0.00001169 price range on the daily timeframe for the past two months. It recently broke out of the range, briefly dipping to $0.00000975 before retracing to $0.00001, as of press time.
With Bitcoin [BTC] making a 3.1% rally within the past 24 hours, it might present an opportunity for Shiba Inu to record some bullish gains.
Read Shiba Inu’s [SHIB] Price Prediction 2023-24
Shiba Inu bulls have struggled to find any momentum
Source: SHIB/USDT on Trading View
SHIB’s daily trading volume has been on a downward slide, since the start of April. This may be due to the rise of new meme tokens, such as $PEPE with investors jumping on the market bandwagon.
A look at the Visible Range Volume Profile on the four-hour timeframe offered some insight into Shiba Inu’s price action. The Value Area High (VAH) and Value Area Low (VAL) stood at $0.00001137 and $0.00001051 respectively. The Point of Control lay close to the resistance level at $0.00001092.
A bearish order block just above the VAH has been a huge barrier for SHIB bulls, as the price hasn’t been able to go above it for two months. Shiba Ina’s price dipped under the VAL from that order block and struggled to find any upward momentum.
The Relative Strength Index (RSI) and On-balance Volume (OBV) indicators also echoed the bearish sentiment. The RSI has remained under the neutral 50, since 26 April and the OBV has declined over the same period.
The long-term outlook didn’t suggest that a bounce in Shiba Inu prices was imminent with the selling pressure likely to take the price lower. A potential target for bears will be the $0.00000807 support level.
How much are 1,10,100 SHIBs worth today?
Exchange netflow could lead to higher selling pressure
According to data from CryptoQuant, the net deposits on exchanges for SHIB were high compared to the seven-day average. High net deposits on exchanges could infer more selling pressure. However, there might be a glimmer of hope for a bullish reversal.
However, as per coinalyze, SHIB’s Open Interest showed a slight uptick on the four-hour chart. A corresponding increase in daily trading volume over the coming days might see some buying pressure to stem the bearish momentum.
Source: Coinalyze
