The Shiba Inu price rally has come to a halt and the token is evidently in a consolidation. As of 0739 GMT, SHIB was in the red, having lost 4.23% in 24 hours to trade at $0.00006626. The current consolidation is likely driven by investors who are taking their profits. If that is the case, then SHIB is likely to stay in the range in the near term. However, a reversal is also possible.
The “dogfight” that could propel SHIB higher
One of the biggest challenges that Shiba Inu will have to contend with is a possible lack of motivation by investors, now that SHIB is above Dogecoin. For a long time, Dogecoin has been the pacesetter meme coin and it is probable that investors looked at it for clues on how high SHIB could go.
Now that SHIB has zoomed past DOGE, the popularity contest may have run out of steam. That could slow down growth for both Dogecoin and Shiba Inu. The two are the only meme coins in the top ten crypto ranking and they are vastly different from the other coins above them. The lack of a common platform to compete on is a great disadvantage, especially for meme coins. Going forward, the price actions of Dogecoin and Shiba Inu are likely to depend on the efforts of their “fan bases” to try and outdo each other.
Technical analysis for Shiba Inu price
Shiba Inu price has broken out towards the lower side of the symmetrical triangle as shown on the chart below. The market momentum has been weakening and the RSI has reduced from 70 to 65 over the last 3 days. This signals that the market is becoming bearish. With that in mind, near-term support is likely to be established at $0.00005725. Nonetheless, an RSI of 65 is still strong enough to support further price gains. If that happens, the price could rise to the first resistance at $0.00007515, beyond which it will attempt to breach $0.00007920.