SHIB Bulls Hold Firm at Crucial Support Level Despite Market Fluctuations and Institutional Activity

Over the last day, Shiba Inu (SHIB) has burned 17 million tokens, which may indicate its price is finding stability as it holds important support levels. SHIB is currently valued at $0.000007929, with analysts

near the lower edge of a downward channel on the weekly chart. This comes after an 11.8% decline over the past week, marking the fourth straight week of losses for SHIB. However, bulls have managed to maintain a vital support range between $0.00000741 and $0.00000767.

Technical signals are mixed. The 14-day RSI is at 58.939, which points to a "Buy" recommendation, but moving averages present conflicting signals. On Investing.com, the SHIB/USD

, with 7 Buy and 5 Sell signals across MA5 to MA200. In contrast, HTX’s analysis with 1 Buy and 11 Sell signals, highlighting ongoing volatility. The recent bounce in SHIB’s price has been supported by a rise in open interest after billions in short positions were liquidated, a shift that for a short-term upward move.

Traders are paying close attention to Coinbase’s upcoming product rollouts, which could boost SHIB’s liquidity. The platform is set to launch 24/7 altcoin futures for

on December 5, followed by perpetual contracts on December 12. These developments, along with Japan’s move to apply a flat 20% tax rate to SHIB alongside and , reflect increasing institutional recognition. for users in Europe further highlights the token’s growing regulatory presence.

Forecasts for SHIB’s price are generally cautiously optimistic.

soon, with possible gains to $0.00001030 or higher if it can break above the upper boundary of the descending channel. TheCryptoBasic points to a potential 11.2% increase to $0.0000089, provided SHIB stays above $0.00000741 and the broader market remains steady. On the other hand, if current support fails, the price could fall to $0.0000071, leading to a new period of consolidation.

On-chain data also brings optimism. The daily burn rate has jumped 859% since the start of the year, shrinking the circulating supply and potentially making SHIB more scarce. This trend aligns with ecosystem projects like ShibaSwap and Shibarium, which are designed to expand SHIB’s use cases beyond its meme coin status.

Despite these encouraging signs, risks persist. The crypto market’s natural volatility, together with broader economic uncertainties, could slow SHIB’s progress. Experts caution that Bitcoin’s performance will play a key role, as a broader market downturn could undermine any short-term recovery for SHIB.