Shiba Inu price performance might change drastically if token breaks through important resistance
The Shiba Inu has reached a critical threshold that will determine the fate of Memecoin for the foreseeable future: the coin will either show us a disruptive performance or return to progressive consolidation for a few more days or weeks.
At press time, Shiba Inu is continuously moving to the upper border of the consolidation range formed back in June. The range is one of the longest consolidations for the asset that entered the downtrend in November. Traditionally, prolonged consolidations are signs of an upcoming trend reversal.
This breakout attempt is going to be the fourth test of the consolidation range resistance level, which keeps SHIB away from entering a quick rally. Despite the limited price performance, the Shiba Inu was able to bounce back above the $0.00001 price range, which is crucial for the coin’s growth on the market.
From a technical standpoint, Shiba Inu is showing the best performance since November, when it faced a massive spike in inflows after retailers discovered the notorious memecoin. The token broke an important resistance level and entered the classical consolidation range that might help it enter a reversal rally. The trading volume is on a steady recovery.
Fundamental Value of SHIB
Thankfully, the project’s developers really tried to make SHIB more than just an extremely speculative and volatile asset that does nothing but attract retail investors looking for a risk appetite.
Additionally, we are seeing a steady rise in the volume of burned Shiba Inu tokens that act as great fuel for the token with such a large circulating supply that remains in the hands of retail investors.
