As the RSI rises, Shiba Inu (SHIB) rebounds from recent lows, but being rejected near key levels indicates that bullish momentum remains weak.
The number of whale wallets continues to decline, indicating that the support from large holders may weaken, leading to decreased long-term confidence.
SHIB has significant support around $0.0000119, but the bearish EMA limits upside potential, while the price remains trapped between key areas.
With the RSI improving and key support levels holding, Shiba Inu shows early signs of recovery, but the reduction in whale wallets and bearish EMA suggests a cautious outlook.
Shiba Inu's momentum is strengthening, but the RSI is reluctant to give cautious signals.
Shiba Inu's momentum has shifted, with its relative strength index (RSI) rising from 30.18 three days ago to 47, indicating a recovery from an almost oversold state.
However, it is worth noting that SHIB failed to break the key 51 RSI level yesterday, indicating that bullish momentum remains fragile.
Despite a recent rebound reflecting reduced selling pressure, the inability to enter a clearly bullish zone indicates that buyers are still hesitant.
RSI, or relative strength index, is a momentum oscillator used to measure the speed and change of price movements, helping to identify overbought or oversold conditions.
Readings below 30 indicate oversold conditions, while readings above 70 indicate overbought conditions. SHIB's RSI is currently at 47, indicating the asset remains in a neutral zone—neither overextended nor significantly discounted.
This mid-range positioning leaves room for a breakout or reversal, depending on how the price action develops around current resistance and support levels.
The decline in SHIB whale numbers signals potential weakness ahead.
The number of Shiba Inu whales (wallets holding at least 1 billion tokens) has been gradually declining since June 11, from 10,259 to 10,231.
While the decline appears modest, it reflects a slow but steady decrease in large stakeholder participation, which may indicate waning confidence among major participants.
The ongoing downward trend in whale activity is often associated with reduced support during volatile phases, making SHIB more susceptible to price fluctuations.
Tracking whale behavior is crucial, as large holders can influence price movements through sudden buying or selling. An increase in whale numbers usually indicates accumulation and long-term confidence, while a decrease may suggest distribution or exit.
As the SHIB whale wallets shrink, this may indicate that major investors are either taking profits or hedging against further declines.
If this trend continues, it may put pressure on SHIB's price, especially when retail interest fails to offset the outflow of large whale funds.
SHIB holds key support levels, but the bearish EMA suppresses bullish sentiment.
Shiba Inu's price recently tested and held the key support level of $0.0000119, providing temporary support despite broader bearish signals.
The token's exponential moving average (EMA) remains in a bearish trend, with the short-term EMA below the long-term EMA, indicating ongoing downward pressure.
If this support level is retested but fails to hold, SHIB may slide to the next key level of $0.0000114, potentially opening the door for further declines.
However, if sentiment shifts and SHIB successfully builds upward momentum, the price may challenge the direct resistance level at $0.0000128.
Breaking this level could trigger a rise to $0.0000136, and if buying pressure continues, it may even rise to $0.0000146.
Currently, SHIB is situated between key support and resistance levels, and a clear breakout in either direction could determine its short-term trajectory.
Conclusion
Shiba Inu's recent rebound attempts have been influenced by various signals: while improvements in the RSI and key support levels bring hope, the reduction in whale wallets and bearish EMA patterns highlight ongoing caution. Investors should closely monitor these technical indicators, as SHIB's short-term trajectory depends on breaking current resistance or support levels. Keeping a close watch on whale activity and momentum oscillators is crucial for predicting potential changes in market sentiment.
