Shiba Inu price holds yearly low on bullish engulfing pattern

Shiba Inu held its yearly low in recent sessions after a bullish engulfing pattern formed on the daily chart following weeks of declines. The token’s price action came at a defined support area that has contained selloffs before.

The candle appeared at a level that traders have treated as a floor. After the initial rebound, price retested the area and remained above it. A bullish engulfing occurs when a day’s gains cover the prior day’s losses, creating a larger green candle that chart watchers monitor for early momentum shifts.

Market focus now turns to two nearby technical zones on the upside: the value area low and the point of control. These levels come from volume profile analysis and reflect price areas where trading activity has been concentrated. Such zones can cap advances if supply builds there.

A durable trend change typically requires a sequence of higher highs and higher lows above nearby resistance. Trading volume has been active in recent sessions, and continued buying would be needed to carry price into and through those overhead areas.

Separately, the Shiba Inu team introduced a debit card that enables users to spend SHIB at merchants and earn rewards. The product adds a payment option for holders alongside trading on exchanges.

The defense of support follows a period of persistent selling and outflows. How price behaves near the value area low and the point of control will help show whether recent strength extends or stalls.

Shiba Inu is an Ethereum-based token that started as a meme coin and is widely listed across major crypto exchanges. Its price has been volatile, and traders track support, resistance, and volume-weighted zones to gauge short-term direction.

As GNcrypto pointed out earlier, Shiba Inu fell more than 80% from its October 2021 local high, with whale activity down over 80% and price locked under a descending trendline. At that time, SHIB traded near $0.00001229 with a market cap around $7.24 billion. Its ecosystem expanded: the Shibarium Layer-2 processed over 1 billion transactions with TVL around 1.36 million, developers raised $12 million in 2024, and the official SHIB account on X counted more than 3.9 million followers.