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How the Shiba Inu price is preparing to wipe all gains made this summer

  • Shiba Inu price has lost 30% of market value this week. 
  • SHIB price has more space to fall on the Relative Strength Index.
  • Invalidation of the bearish thesis remains a closing candle above $0.00001700.

Shiba Inu price is mirroring technicals forecasted throughout the beginning of summer. If market conditions persist, a breach of the July 13 swing low at $0.00000970 will likely occur.

Shiba Inu price falls as expected

Shiba Inu price shows bearish signals that investors ought to be aware of. Since July, the notorious meme coin was setting up a bullish spike towards $0.00001700. Forecasts were warning traders to actualize profit near the target zone as the technicals and on-chain metrics suggested a sharp reversal could occur after the bullish spike

On August 12, the Shiba Inu price witnessed a 35% spike into the anticipated target zone. Since the one-day spike occurred, the SHIB price has fallen in a freefall fashion, leaving traders who may have been late to the profit-taking opportunity stifled whether or not the SHIB price will give a second chance at taking a profit. 

tm/shib/8/27/22

Shiba Inu currently auctions at $0.00001232, 30 percent less than the bullish target zone. The Volume Profile indicator near the top of the bullish spike and Relative Strength Index with sufficient cushion space above an ideal buyer’s level suggest the SHIB price could continue falling. Additionally, September has been a bearish month for Cryptocurrencies for four years.

Invalidation of the bearish thesis targeting the July 13 swing low at $0.00000970 is a breach and closing candle $0.00001700. If the bulls can breach this level, they may be able to rally as high as $0.00005400, resulting in a 100% increase from the current Shiba Inu price 

In the following video, our analysts deep dive into the price action of Shiba Inu, analyzing key levels of interest in the market. -FXStreet Team

Author

Tony M.

Tony M.

FXStreet Contributor

Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.

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