Shiba Inu (SHIB), which failed to benefit from the last memecoin fury in May, saw its market value drop, and new meme coins with low market value saw demand. Not only did Shiba not receive any demand, but it also lost some of its investors during this period.
Should Buy Shiba Coin?
Since reaching a local peak of $0.00001575 in February 2023, the second largest memecoin by market value has been in a downtrend. However, Shiba Inu has now reached a long-term support area that could initiate a bounce and a potential trend reversal. For this to happen, the weekly chart shows a rare triple bottom formation and a bullish divergence in the daily RSI.
Shiba Inu’s price reached its all-time high of $0.00008854 in November 2021. It has been falling since then and found its bottom at $0.00000714 in June 2022. Last year, SHIB reached this support area three times. The second time was in December 2022, and the third time is happening now. Currently, the memecoin is 91% below its ATH and is once again approaching the macro bottom of a year ago.
Shiba Coin Review
However, revisiting this long-term support area is a bullish signal that could potentially trigger the resumption of the uptrend. If the support starts a bounce, a triple bottom formation emerges and this could trigger a swift rise up to $0.00000963. The next target would likely be $0.00001080.
But if Shiba Inu’s price loses this long-term support, it will have to establish new cycle bottoms. In this scenario, it could be $0.00000630, which was the bottom in July 2021.
The analysis of the daily time frame for the Shiba Inu price shows a clear downtrend. It has been moving in a downward trajectory since reaching $0.00001575 in early February 2023.
