SHIB retraces after rejection near key resistance zone
Shiba Inu (SHIB) fell by 5% in the last session, giving back part of its recent gains as the token faced strong resistance near the 0.00001450–0.00001600 range. The decline comes after a short-term rally that lifted SHIB from its consolidation base, but technical signals now suggest a possible cooling period.
The chart indicates that SHIB had been trading inside a descending channel for much of June before breaking out in late July. This breakout was followed by a steady climb, pushing the price into an overhead resistance zone highlighted in red.
After briefly touching the upper band of resistance, SHIB was unable to maintain momentum, triggering a sharp pullback. The token has since returned toward the support region near 0.00001250–0.00001280, marked in green, which previously acted as a strong accumulation zone.
“SHIB’s recent rejection suggests traders are taking profits at key resistance levels, while buyers may wait for a retest of the support zone before entering new positions,”According to BITX technical analysts.
Despite the drop, SHIB still holds above its mid-level support around 0.00001300, highlighted in the chart. A decisive move below this level could increase selling pressure and push the token back toward its lower consolidation zone. Conversely, if buyers defend the support, SHIB could attempt another rally toward the 0.00001500 mark.
Analysts note that volume patterns suggest declining buying interest at higher levels, which often precedes short-term corrections. However, longer-term sentiment around SHIB remains resilient as the community anticipates potential ecosystem upgrades.
“As long as SHIB maintains its structure above the green support zone, the broader trend remains constructive,” BITX market strategist commented.
The 5% decline in SHIB highlights the significance of resistance zones in shaping short-term momentum. Traders will closely watch whether the token can hold above its support band to sustain bullish sentiment. A bounce from these levels could revive upward momentum, while a breakdown might signal deeper consolidation.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.