New Shiba Inu Lows? Analyst Predicts Further Correction After Fakeout
Shiba Inu may see further downsides as an analyst identifies a fake price breakout following a recent rejection from a crucial resistance level.After a strong start last week, enthusiasts were looking to relive the Shiba Inu parabolic expansion dream. The meme coin rallied 4.48% on Monday, and before Wednesday, it had reached the late February high of $0.00001567.However, the asset quickly lost momentum around the price mark, crashing alongside the broader market. Shiba Inu has retraced 21% from the high, with a prominent market watcher suggesting further downsides.Analyst Explains Recent DownsideIn an X commentary on April 1, analyst Nebraskangooner identified the catalyst for this sudden crash. Aside from the broader macro bearishness of Donald Trumps proposed tariff hikes, he highlighted that Shiba Inu faced intense opposition from a resistance level a week ago.The $0.00001567 price zone acted as a buffer against lower prices in early February, but Shiba Inu desecrated the stronghold on February 24, turning the zone into a resistance level. Unfortunately, the meme coins upside momentum could not ensure safe passage through the supply zone, with adverse broader market conditions contributing to the weakness.Meanwhile, Nebraskangooner also identified a fake breakout from a macro resistance yesterday after SHIB jumped nearly 3% to an intraday high of $0.00001315. Following the rejection, the prominent memecoin has forayed downwards, retracing 6% from the price mark.Interestingly, the market watcher identified a similar trend among other altcoins, predicting that further corrections are on the horizon. Although he did not explicitly mention a specific target for the downside, an accompanying chart suggests a retest of the March 11 low of $0.00001082, nearly 13% away from the current market price.
Text source: The Crypto Basic
