After a bearish wave since August 12, Shiba Inu ($SHIB) has rebounded, rising over 9% in the past day.

The $SHIB price is now hovering around $0.0000082, erasing a significant portion of the losses made over the preceding seven days.

At the same time, the new meme coin Wall Street Memes ($WSM) continues gaining traction in its presale, which has now raised over $26 million and entered its final stage.

Shiba Inu Rebounds From Support But Faces Tough Battle

$SHIB rejected a minor support zone around $0.00000760 on Tuesday afternoon, sending the token’s value higher.

This much-needed bounce comes after $SHIB fell through its 20-day, 50-day, and 200-day Exponential Moving Averages (EMAs) last week, showcasing the strength of the ongoing sell-off.

While this bounce does signal some renewed buying interest, $SHIB will need to break back above these EMAs to indicate a total trend change.

This upside move has also come at the same time as a spike in trading volumes, with CoinMarketCap data showing an 18% increase in the past day.

Moreover, CoinGecko sentiment analysis reveals that more than 73% of users are “feeling good” about the token’s prospects.

Ultimately, these positive signs point to a potential rally in the short term – which will be music to the ears of $SHIB holders.

Lack of Price Catalyst Dampens Investors’ Enthusiasm for $SHIB

Interestingly, there isn’t a fundamental catalyst for Shiba Inu’s surprise surge.

Many investors are still feeling uncertain following Shibarium’s launch, given that it was marred by technical issues.

While those issues have been resolved, they have prompted doubt among the investment community, dampening enthusiasm for $SHIB.

As such, the short-term bounce is likely driven by investors looking to “buy the dip” after Shiba Inu’s previous sell-off.

However, unless the token sees significant improvements in its functionality, it remains vulnerable to further selling pressure.

$SHIB’s technicals are still bearish overall, and the lack of a clear catalyst for growth might hind