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The last few days have been ugly, to say the least, for holders of the popular meme-inspired cryptocurrency Shiba Inu (SHIB). After a huge surge of nearly 100% since the beginning of November, the price of SHIB has dropped nearly 23% in the last nine days and recently hit a major support level at around $0.000025 per token.
While not very pleasant at first glance, the price chart of the Shiba Inu token is currently opening up interesting opportunities for SHIB enthusiasts. Considering that the drop did not exceed one-third of the initial pump, this correction can actually be considered healthy for the meme-inspired asset, and the maintenance of a key price support level suggests that this may be a point from which the next round of price appreciation for SHIB will begin.
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There are still large concentrations of liquidity below this support level, especially where the price stopped after the Dec. 10 dump. For now, all eyes are on $0.000025, the importance of which is further confirmed by the 50-day simple moving average, which stretches right across this price point.
However, as previously reported by U.Today, the Bollinger Bands, a popular indicator on financial markets, suggest that the price of the Shiba Inu token could drop as low as $0.00002456, where the lower band currently resides. Despite the fact that this may mean another 4.4% drop for SHIB, if the token finds its local bottom here, it may still save the bullish bias, as this will be a higher low than what we saw earlier in December.
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All in all, the pain that SHIB’s price action is currently inflicting on its holders may soon end; the only two questions are when and where.
