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Historical lows in SHIB ignite bullish hopes and recovery is in sight

2026-07-10 18:35:41
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SHIB rebounded after hitting a record low, and investor confidence improved. Rising open positions and positive funding rates suggest that bullish sentiment is growing. The key resistance level remains at $0.000050, while $0.0000405 constitutes important support.

After experiencing a painful decline, Shiba Inu finally showed some vitality. When the meme hit a new low, buyers quickly returned. This reaction sparked a new sense of optimism in the market. Traders are now speculating whether the rally marks the beginning of a stronger recovery. Kinetic energy has improved, but there are still many technical obstacles ahead. The next few trading days will determine whether SHIB builds a lasting recovery or loses momentum again.

Retail buyers return, market confidence improves

Shiba Inu is trading around US$0.0000419, having previously rebounded from a record low of US$0.0000405. The rally attracted the attention of traders looking for low-price opportunities. The increase in engagement also suggests that confidence is beginning to return after several weeks of weakness. If buying pressure continues to increase, a stronger recovery may emerge. Derivatives data supports this improved outlook. Positions in perpetual contracts climbed to about $31 million on Monday, after hovering around $18 million the day before. Such a sharp increase suggests a return to participation in the futures market. More traders are now expecting larger price movements in the coming days. Another encouraging sign comes from the position-weighted funding rate, which remains positive and continues to climb. Positive funds generally reflect stronger demand for long positions, and despite recent volatility, buyers seem more willing to bet on higher SHIB prices. Positions have previously fallen to their lowest level since September 2024, and the current growth suggests that market confidence has begun to rebuild. Supported by stable buying activity, increased participation often strengthens price momentum. Continued demand may help SHIB maintain recent gains.

Technical resistance still tests SHIB bulls

Despite the increased momentum, technical obstacles still exist. SHIB remains trading below important resistance levels around $0.000050. Buyers must break through this barrier to form stronger bullish momentum. Failure to break through may trigger a new round of selling pressure. Long-term moving averages also continue to limit upside potential. The 50-week, 100-week and 200-week index moving averages all remain above current price levels, and these indicators continue to point to a broader bearish structure. Bulls need stronger buying volumes to overcome these resistance areas. Daily technical indicators also remained cautious, with MACD still reflecting bearish momentum despite recent improvements. The downwardly-sloping daily moving average continues to support the long-term downward trend. Before emotions can completely change, there must be stronger buying pressure. Support levels will be equally important in the next few trading days. Historical lows near $0.0000405 now constitute buyers \'strongest line of defense. Failure to reach this level could expose SHIB to the risk of falling further to US$0.000030. If bearish pressure intensifies, a deeper sell-off could even test $0.000020. Holding current levels will improve trader confidence. Continued buying may try to hit $0.000050 again, a trend that will enhance recovery prospects while attracting more market interest.

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