Shiba Inu must hold above the middle Bollinger Band support to reverse the current price action.
Shiba Inu (SHIB) has experienced a 2.3% decline in the last 24 hours, with the price fluctuating between $0.000008497 and $0.00000899, reflecting moderate volatility during this period. The price has shown some retracement from the recent peak of $0.0000091 seen on Jan 13. Despite the decline, SHIB is holding just below the mid-range, suggesting potential support around current levels.
In terms of broader performance, SHIB has underperformed compared to both Bitcoin and Ethereum. Specifically, Shiba Inu has fallen 3.6% against BTC and 2.1% against ETH over the past 24 hours. Despite the recent underperformance, Shiba Inu remains closely watched by traders, as its next move could determine whether it finds support.
Can Shiba Inu Hold Above Key Support？
The daily chart for Shiba Inu shows the price attempting to stabilize after a prolonged downtrend. SHIB is currently trading above the middle Bollinger Band, the 20-day SMA, which often acts as a short-term equilibrium zone.
Shiba Inu Price Analysis
This level, placed at $0.00000825 could offer support for a potential bounce. Shiba Inu needs to hold above it to maintain its bullish structure and potentially push higher, which could lead to it testing the upper Bollinger Band. For context, SHIB remains capped below the upper Bollinger Band at $0.00000971.
Elsewhere, volatility conditions remain moderate. The Bollinger Bands had widened during the prior surge that pushed SHIB to $0.000010, reflecting increased volatility, but are now beginning to compress, which may indicate a period of consolidation.
Meanwhile, the Average True Range has recently declined, showing that daily price swings are narrowing. This supports the view that SHIB is entering a cooling phase after heightened volatility, with traders waiting for SHIB to find support.
Shiba Inu Open Interest is Declining
CoinGlass‘ Open Interest chart shows a decline in the recent trading sessions. Notably, over the past several months, open interest has fluctuated in tandem with SHIB’s price movements, suggesting a relationship between speculative positioning and price action.
Shiba Inu Open Interest
As seen on the chart, open interest peaked earlier this month, reaching over $145 million, but has since fallen back to $104.29 million. Ultimately, the drop in open interest in tandem with the price decline could signal reduced speculative activity and less confidence in the continuation of the uptrend.