Crypto markets have started to recover as US stock markets rise, and BTC quickly surpassed $26,500. With increased optimism about tomorrow’s Powell speech, risk appetite seems to have somewhat recovered. So, what does the current situation indicate for Shiba Coin investors?
SHIB price started to rise after falling to $0.0000054 on June 10th. So far, the price has increased by 50% and reclaimed the $0.000080 horizontal area. This development was particularly important as it indicated that the previous breakout was invalid. Therefore, it is expected that the region will now provide support again.
Despite the bounce and increase, the SHIB price is still trading below a declining resistance line since September 2022. A breakout from the line is needed to confirm the reversal of the uptrend. In this case, Shiba Coin price can climb to the $0.0000150 resistance area with an 85% increase.
At the time of writing, Shiba Coin continues to rise with a 6% increase, benefiting from the recent market uptrend. On the other hand, the highly anticipated Shibarium was launched on August 16th. However, the launch faced several issues, such as $1.7 million worth of ETH getting stuck in the Shibarium bridge, which prevented it from providing the desired support to the price. If we see more positive developments regarding Shibarium in the coming weeks, this could support the price. Especially, the upcoming network report expected towards the end of next month, if the on-chain data is positive, can contribute to a higher than expected price increase with new wallets, active users, and so on.
So, what is the short-term bullish outlook? The previous breakout at $0.0000103 needs to be successfully completed this time. If the price can surpass this resistance line, the rally can gain momentum. However, it is crucial not to lose the mentioned support at $0.000008. In case the worst scenario occurs, with the loss of this support, we can see a sell-off of over 25% down to $0.000006.
Bitcoin price has not been able to sustain above $26,500 for now, and the short-term outlook will largely depend on the performance of the king cryptocurrency. The Powell speech tomorrow is one of the closely watched subjects. We will share the details about the speech on COINTURK as breaking news.