A key price range has emerged as an important technical support zone for Shiba Inu's ongoing recovery. A rising trendline extending from the August low reinforces the area, giving traders a defined level to watch if selling pressure returns.

Shiba Inu, launched in 2020 as an Ethereum-based meme token inspired by Dogecoin, remains one of the most widely held and closely tracked altcoins, which is why its chart structure and exchange-flow data draw outsized attention even when the dollar amounts involved are small.

The immediate challenge, however, remains overhead resistance. SHIB has repeatedly failed to sustain gains above approximately $0.00000540, while a longer-term moving average near $0.00000568 presents a more significant barrier.

A sustained move above $0.00000568 could improve the token's technical structure and potentially put the $0.00000620 area back in focus. Until that breakout occurs, the recent recovery remains vulnerable to another rejection.

Shiba Inu Needs to Clear $0.00000568

Shiba Inu's latest advance has improved its short-term technical position, but the token still faces several levels that could determine whether the recovery develops into a broader uptrend.

During the August rally, SHIB climbed toward $0.00000620 before sellers halted the move and pushed the token back toward lower support. The cryptocurrency would first need to overcome the longer-term moving average around $0.00000568 before another attempt at that previous high becomes technically significant.

Source: TradingView. Repeated failures near $0.00000540 indicate that sellers remain active at higher levels. A decisive break through $0.00000568 would therefore represent an important test of whether buyers have accumulated enough strength to extend the rebound.

Momentum indicators offer a mixed signal. SHIB's daily relative strength index was around 57.6, above the neutral 50 level but still below the threshold associated with overbought conditions. The reading gives buyers a modest advantage, but it does not indicate the type of strong momentum typically associated with a confirmed breakout.

For now, the market remains caught between improving support underneath and persistent resistance above.

Negative Spot Flows Offer Limited Bullish Support

Spot-market flows provide some additional support for the recovery, although the scale of the withdrawals remains relatively small.

Shiba Inu recorded approximately $271,000 in negative net spot flows over an eight-hour period, while four-hour outflows were close to $210,000, according to Coinglass. Negative net flows generally indicate that more SHIB was withdrawn from exchanges than deposited, potentially reducing the amount of tokens immediately available for selling.

The figures, however, are modest compared with SHIB's approximately $3.16 billion market capitalization. As a result, the exchange-flow data alone does not establish strong bullish demand. This gap between headline flow signals and the token's overall valuation is a common pattern in meme-token markets, where onchain and derivatives readings can move sentiment faster than the underlying capital amounts would justify.

Derivatives activity also remains inconclusive. SHIB recorded roughly $112,000 in liquidations over the previous 24 hours, a relatively limited amount compared with its overall market valuation. Open interest also varies substantially across major cryptocurrency trading platforms, reflecting a market that has yet to establish clear conviction.

The combination of modest exchange outflows, limited liquidations and incomplete momentum confirmation suggests that traders have not yet demonstrated aggressive bullish positioning.

The $0.00000500 level is therefore particularly important for the recovery. A break below that area would weaken the rising trendline established from the August bottom and could expose support between $0.00000480 and $0.00000440.

By contrast, continued support above $0.00000500 followed by a breakout through $0.00000568 would strengthen the case for buyers and reopen the path toward $0.00000620.

SHIB remains in a recovery phase, but sustained buying volume and stronger momentum are still needed before the move can be considered a confirmed bullish trend.

Writer: Marcus Renfield, Crypto Market Analyst & Onchain Writer. Marcus Renfield covers cryptocurrency markets with a focus on onchain data, Bitcoin price action, and emerging market narratives. His writing examines how capital flows, network activity, and broader market structure influence short- and medium-term trends.