Shiba Inu Faces Rejection at Key Resistance, Bears Regain Control

Shiba Inu (SHIB) has once again struggled to break through a crucial resistance, raising doubts about its short-term bullish momentum. After briefly climbing above $0.00001400, SHIB reversed sharply and is now trading at $0.00001327, marking a daily loss of over 5%.

The rejection occurred precisely at the 50-day Exponential Moving Average (EMA), a level that has consistently acted as a ceiling during SHIB’s recent downtrend. The failed breakout has left traders disappointed, with what appeared to be a bullish reversal now looking like a classic fakeout. SHIB did break above a descending trendline temporarily, sparking optimism, but the lack of volume and follow-through quickly invalidated the signal.

Investor sentiment has weakened further, with increasing selling pressure suggesting traders are exiting positions amid fading confidence. The Relative Strength Index (RSI) has also slipped to 47, reflecting a shift in momentum back toward the bears.

SHIB now faces a critical test at the $0.00001300 support level. A breakdown below this threshold could open the door for a move toward the $0.00001200–$0.00001230 range. Until SHIB can decisively close above the 50 EMA and maintain its gains, the likelihood of continued downside remains high.

This recent move reinforces the importance of conviction and volume in validating breakout attempts. Without these elements, price rallies risk becoming short-lived, leaving bulls vulnerable. As SHIB struggles to find footing, traders are reminded that sustainable uptrends require more than brief technical breakouts—they need solid support and market participation.