Investors are on edge as Shiba Inu price may have gone too far
- SHIB price has breached a key Fibonacci level.
- Shiba Inu price has lost support from buyers on the Relative Strength Index.
- Invalidation of the bearish outlook is break and close above $0.00001774.
Shiba Inu price displays concerning signals which could shake out the strongest SHIB investors.
Also read: Is MSTR stock facing possible bankruptcy on Bitcoin collapse?
Shiba Inu price due for more decline
Shiba Inu price shows evidence that more price drops are likely for the notorious meme coin. The self-proclaimed “Doge Killer” looks like roadkill as the bears have managed to breach previously held support zones at $0.00001839. The 61.8% Fibonacci retracement level surrounding the all-time-low and all-time-high at $0.00001513 was recently breached with a bearish engulfing candle.
Shiba Inu price is also losing support from investors who thought the current dip was worth buying. The Relative Strength Index confounds this idea as the buyers’ support levels have been breached in multiple time frames. The bears are likely in profit and will not be closing their shorts until lower liquidity levels, such as the $0.000000666 zone, are tapped.
SHIB/USDT 9-Hour Chart
Still, weekly and monthly charts will be the ultimate deciding factor for the Shiba recovery rally. If the SHIB price can breach the $0.00001774 a bullish hammer could print on the weekly chart. Thus there could be potential for a relief rally to $0.00003000, resulting in a 130% increase from the current Shiba Inu price.
Author
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.
