SHIB is looking for support before breaking above USD 0.0004

SHIB price is sandwiched between buyers and sellers as the bulls seek to surpass $ 0.00044 while the bears seek to trap and drive bulls out of long positions. With SHIB still a burgeoning cryptocurrency, not all or many of the technical factors are in place, but with $ 0.0004 being an all-time high in the first week of trading, it remains to be seen whether the bulls can break a new all-time high beyond that in 2022.

The SHIB Prize will be happy about new investment capital

SHIB got stuck in a downtrend after hitting an all-time high in October, then price action collapsed to find support at $ 0.00003. Since then, the price has been in the $ 0.0004 range, which has proven to be a difficult hurdle to overcome in the past. As the bulls struggled to withstand this level to force the bears to let go, a lack of momentum and opposing moves sent the price into a downtrend this week and started a bull trap. Don’t expect any significant downside risk as SHIB is well supported at $ 0.00003 and just below $ 0.000264, and historical support is still waiting to be tested.

If the RSI is still hovering above the 50 mark, it shows that investors are showing up and buying the SHIB even if price action picks up again. Hence, expect a bullish breakout above $ 0.00004 as traders begin to escalate their attack on sellers. A weekly close above $ 0.00004 would provide a bright buy signal to skeptics and bulls looking for an entry point that could see a quick surge towards $ 0.0007 in line with the R1 monthly resistance.

SHIB / USD daily chart. Source: TradingView

If the global market weakens in 2022, investors will hesitate a little before getting into Shiba Inu. Once there, the bears should succeed with the bull trap, pushing the price down to $ 0.0000264. Since this level has yet to show support, it cannot stop price movement. The 200-day SMA at around $ 0.00002 could be the necessary fallback security to keep the SHIB from falling further.

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