- Shiba Inu price consolidates after undoing the recent 33% upswing.
- A retest of the volume point of control at $0.0000118 could be key in triggering another 50% rally.
- A daily candlestick close below $0.0000118 will invalidate the bullish thesis.
Shiba Inu price seems to be back at square one after undoing its recent yet explosive rally. This development comes as Bitcoin price also tumbled down from $25,000. However, the meme coin is likely to provide another opportunity before triggering an aggressive rally.
Shiba Inu price finds launchpad
Shiba Inu price inflated by nearly 35% in a single daily candlestick on August 14 and set up a swing high at $0.0000180. While this impressive rally was seen in Dogecoin price afterwards, SHIB seems to have lost its momentum, leading to a reversal.
Roughly four days later, the gins witnessed were completely undone due to an increase in selling pressure from investors booking profits.
The ongoing SHIB retracement is likely to move a little lower and retest the point of control (POC) at $0.0000118, which serves as a support floor. Since this point is the highest traded volume level, it will likely induce Shiba Inu buyers to step up and absorb the incoming selling pressure.
Such a development could see SHIB trigger a minor rally, which market participants can capitalize on. The resulting uptrend could push Shiba Inu price to either create a double top at $0.0000180 or push through it and set up a swing high at $0.0000200. This move could constitute a 50% upswing.
SHIB/USDT 4-hour chart
On the other hand, if Shiba Inu price fails to stay above the POC at $0.0000118, it will denote a surging seller activity. In such a case, a daily candlestick close below the aforementioned level will invalidate the SHIB recovery outlook and potentially trigger a 10% drop to retest the $0.0000106 foothold.
