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Amid the ongoing downtrend in the crypto market, the Shiba Inu coin price has witnessed a steady drop for nearly two months. The evident lower highs and lowers lows show the market sentiment is following the selling on rallies motto. Furthermore, the technical chart reflects that falling prices have restricted its downfall within two converging trendlines. This activity in technical analysis revealed the formation of a falling wedge pattern.
- A bearish reversal from the resistance trendline will ignite a sharp downfall below $0.00001 support
- The MACD indicator slopes running below the midline indicate the sellers have an upper hand
- The intraday trading volume of the Shiba Inu coin is $199.4 Million, indicating a 30% gain.
With the market facing strong uncertainty, the Shiba Inu coin price is wavering at a combined resistance of $0.000017 and a resistance trendline. Though the short body candles during this consolidation indicate indecisiveness among market participants, the relatively longer higher price rejection attached to these candles project active selling at higher prices.
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Thus, responding to this pattern, the altcoin should turn down from this trendline and trigger a new bear cycle. The potential downfall should break the immediate support of $0.0000103 and $0.00000975. However, the post reversal fall should reach the support trendline as per the technical set-up, which in this case is around $0.00000885. This drop may register a 20% drop in market value.
On a contrary note, the true nature of the falling wedge pattern is to offer a strong direction rally. Thus, if the Shiba Inu coin price breaks above the overtrend resistance, it will hint the prior selling on rallies sentiment is shifting to buying on dips.
Under ideal conditions, this pattern breakout should lead the altcoin to the $0.00001482 mark.
EMAs: The downsloping EMAs(20, 50, 100, and 200) highlight an established downtrend. Moreover, the 20-day EMA is giving constant resistance to the sideways price action.
MACD indicator: No significant spread despite a bullish crossover in the MACD and signal lines indicates weakness in buyers’ commitment.
Shiba Inu Coin Price Intraday Levels
- Spot rate: $0.000011
- Trend: Sideways
- Volatility: High
- Resistance levels- $0.0000117 and $0.0000135
- Support levels: $0.00001030 and $0.00000975
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.