Disclaimer: The information presented does not constitute financial, investment, trading or other types of advice and is the opinion of the author only
- SHIB tried to recover after finding a strong breakout at $0.00001216.
- Rising selling pressure in the short term could undermine the robust recovery.
shiba inu [SHIB] The upbeat recovery ran into opposition from bears. After the FOMC announcement in early February, Bitcoin [BTC] It lost its grip on the $23,000 area, which made the meme coin crash.
is reading SHIB price prediction 2023-24
SHIB found stable support at $0.00001216 and caused the price to recover. But it failed to clear the $0.00001316 barrier, which gave the bears the upper hand. At the time of publication, the value of the meme coin is equivalent to the level in November 2022.
Is it possible to retest the 50% Fibonacci level?
Source: SHIB / USDT on TradingView
At the time of publication, BTC is struggling to regain its $22K area. Similarly, SHIB struggled to close above the 61.8% Fibonacci level of $0.00001269. With a bearish structure, as indicated by the RSI, SHIB could retest the 50% Fibonacci level.
Such a move would allow investors to take advantage of a $0.00001216 selling opportunity. The RSI met with a mid-range rejection, further consolidating the bears’ advantage at press time.
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But the Money Flow Index (MFI) has always recovered from the middle level of the 12-hour chart. Therefore, if the pattern repeats, it will indicate an increased demand for SHIB.
Any increase in buying pressure should push the bulls to breach the $0.00001316 barrier. But this move will invalidate the bearish slope described above.
SHIB has been under pressure in the short term as sentiment increases bearish
Source: feeling
SHIB indicated a lack of demand with an increase in supply in the short term. According to Santiment, supply on exchanges registered a slight uptick, indicating that more SHIB vessels are being moved to exchanges for offloading.
It indicates short-term selling pressure that could delay SHIB’s recovery in the long term.
In contrast, the supply from the exchanges recorded a decline, indicating that the demand for SHIB was small compared to the supply. This imbalance between supply and demand can cause the SHIB to devalue the currency in the short term.
In addition, the positive weighted sentiment for SHIB has weakened significantly since February 3 – after the FOMC announcement. Sobriety started after a temporary euphoria in the market following the Fed’s 25 basis rate hike.
Negative sentiment and bearish expectations can undermine the meme coin’s recovery.
However, a bullish BTC and a rise to the $22k area can boost the recovery of SHIB, so it is worth following the price action of the king coin.