Shiba Inu Price Prediction: Here’s Why $SHIB is at Risk of 22% Drop
Shiba Inu’s price recovery has faced a sharp reversal from the $0.0000106 mark, indicating an increased uncertainty in the crypto market. This reversal occurred at the resistance trendline, suggesting a potential correction phase. Traders are now faced with the decision of whether to sell and anticipate a further downfall or hold onto their SHIB coins.
The formation of a symmetrical triangle pattern signals a minor correction in the SHIB price. This pattern indicates an accumulation phase and suggests that demand pressure may be found at $0.0000096, followed by $0.00000764. However, the intraday trading volume of Shiba Inu currently stands at $382 million with a 12.6% loss.
The daily chart of Shiba Inu over the past 8 months shows a sideways action, with no clear direction. However, connecting the price peaks with a trendline reveals the formation of a symmetrical triangle pattern. With the recent sell-off in the crypto market, the SHIB price has reverted from the upper trendline of this pattern, indicating a possible bear cycle.
At present, the SHIB price is trading at $0.00000973 with a 6% intraday loss. If the coin price breaks below the immediate support of $0.00000964, sellers would gain momentum to sustain the downward trend. This post-breakdown fall could potentially cause the price to drop by 22% and reach a lower trendline near $0.0000076.
Regarding the possibility of a bull run, the triangle pattern suggests a sideways trend in the coming weeks or months. Coin holders looking for a directional move should wait for a breakout from the triangle boundaries. A potential breakout from the upper resistance could lead to a surge in prices to $0.00000119, followed by $0.00000158.
Technical indicators such as the Moving Average Convergence Divergence (MACD) and the Exponential Moving Average (EMA) indicate some bullish signals. The bullish crossover between the MACD lines and the support offered by the 20-day EMA slope suggest that the recovery trend is intact.
In conclusion, while there is a risk of a 22% drop in the SHIB price, the symmetrical triangle pattern indicates a potential sideways trend. Traders should carefully monitor the breakout from the pattern boundaries for further price movement.