Shiba Inu (SHIB) is preparing to break into the $0.00001 zone again after breaching the domineering downtrend resistance.
Shiba Inu (SHIB) has finally breached the downtrend resistance that triggered persistent declines in its value for over a month. Capitalizing on the growing market-wide recovery, the asset is gearing up for its next leg up as it seeks to break back into the $0.00001 territory.
Crypto Rand, an accomplished crypto analyst and trader, recently highlighted the bullish breakout. Citing information from a SHIB daily chart, Crypto Rand called attention to the fact that Shiba Inu’s winning session on May 22 helped the asset break through the bearish trendline that had exerted pressure on its price actions since April 18.
Eyes on $SHIB, breaching up the main downtrend resistance after one month! pic.twitter.com/XkpHUTeIvI
— Crypto Rand (@crypto_rand) May 22, 2023
Following the local top of $0.00001188 observed on April 16, SHIB faced fierce resistance from the bears, triggering persistent declines from April 18. Despite a series of comebacks, the bears took control of the scene from that point, leading to a one-month-long downtrend resistance.
Shiba Inu finally lost control of the $0.00001 zone on May 5 amid the escalating bearish condition, plummeting to a low of $0.00000832 – its lowest value since Jan. 8. A response to this sharp decline was not enough to keep the asset afloat, as the clash between the bears and the bulls kept Shiba Inu underneath the downtrend.
Shiba Inu Soared by 21% after Breaching the Previous Downtrend
However, SHIB finally broke above the resistance downtrend, registering a 3.17% gain yesterday. This marked the asset’s biggest intraday gain in over a month. Shiba Inu is now looking to flip the $0.000009 territory into support, aiming for $0.00001.
Historical data suggests this is the second month-long downtrend the asset has faced this year. The first one immediately followed the high of $0.00001575 on Feb. 4. This downtrend lasted for 33 days. After breaking above it, SHIB soared by over 21% in the following days.
Notably, SHIB Knight, a notable trader within the Shiba Inu community, asserted that the asset might be gearing up for its next leg. SHIB must remain above the recently-breached trendline to keep a firm grip on the $0.000009 territory.
$SHIB next leg is coming. 💯 pic.twitter.com/tC4iqCCSU5
— $SHIB KNIGHT (@army_shiba) May 23, 2023
Consequently, holding above $0.00000913 could signal enough strength for the asset to reclaim the much-coveted $0.00001 zone finally. Bullish developments would provide some support. As of press time, Shiba Inu is trading for $0.00000888, up 3.86% in the past 24 hours.
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