Shiba Inu (SHIB) recorded 1.34 billion tokens in fresh trading volume over the past 24 hours, according to chart analysis published by U.Today. The surge in activity followed a market-wide flush in which more than $1 billion in leveraged positions were wiped out. Liquidations of this kind occur when exchanges forcibly close leveraged positions whose collateral no longer covers potential losses, and because those forced exits are executed at market prices, such flushes tend to generate sharp, volume-heavy moves across affected assets.

Most of the trading activity appears to be a reaction to the crash, the analysis noted, with forced sellers exiting first and dip buyers stepping in afterward.

Heaviest Weekly Volume Marks the Decline

SHIB fell from $0.00000580 to $0.00000534 in two days, with the heaviest trading volume of the week appearing on a red candle, a pattern showing the decline drew active selling participation rather than thin drift. The price reached a low of $0.00000510 on Thursday before beginning to recover. According to the analysis, the long lower wick on the chart indicates that buyers stepped in near the bottom. SHIB was last changing hands at $0.00000534, sitting directly on a moving average at $0.00000529.

Support Held, but Recovery Not Yet Confirmed

Support proved to be the key level in the most recent session. The latest daily candle closed green, showing that the level held. However, volume on the bounce has been small so far, which suggests the recovery is not yet confirmed; in technical analysis, advances on light volume are generally harder to sustain because they can fade once initial buyers step away.

A cluster of moving averages — trend-following levels that frequently act as resistance while price trades beneath them — between $0.00000545 and $0.00000549, positioned above the price, forms the first resistance wall. A longer-term moving average near $0.00000565 represents a more significant test: SHIB failed to hold that level this week and must reclaim it for the trend to turn positive again.

The Relative Strength Index (RSI), a momentum gauge measured on a 0-to-100 scale where readings below 30 are typically viewed as oversold, stands around 44, a reading that reflects weakness without reaching oversold conditions. According to the analysis, sellers therefore retain a slight edge. A daily close above $0.00000549 would be the first positive indicator for bulls.

Key Levels Ahead

After clearing that threshold, bulls would aim for $0.00000565, then $0.00000580, and ultimately $0.00000600, per the analysis. Conversely, a close below $0.00000529 would negate the recent bounce, with the next support levels at $0.00000510, followed by $0.00000500. That zone was also in play in September.

The analysis concluded that fresh volume near support levels is a positive indicator, but sustained momentum is required. If SHIB holds $0.00000529 with high volume on green candles, a move toward $0.00000565 is feasible; otherwise, another test of $0.00000510 may follow.

Originally reported by U.Today. Source: CryptoNewsNet.