• Shibu Inu price continues to drift lower along the 50 four-hour simple moving average (SMA).
  • SHIB symmetrical triangle breakout on May 24 is still live despite the pullback to the triangle apex.
  • Inside days on May 25 and May 26 failed to generate a powerful range expansion for the digital token.

Shiba Inu price engineered an impulsive break out from a symmetrical triangle pattern on May 24. SHIB has since failed to build on the breakout, instead showing a lack of decisiveness as it drifts lower between the 50 four-hour SMA and triangle’s upper trend line.

Shiba Inu price faces challenging environment

From May 19 until May 24, Shiba Inu price created a symmetrical triangle pattern with two reaction highs and three reaction lows and a measured move target of $0.00001450, representing a gain of 50%.

The May 24 breakout to the upside was over 30%, clearing the 50 four-hour SMA. The SHIB breakout has not officially failed at the time of writing, as it balances on the last level of support.

Shiba Inu price rests at the symmetrical triangle’s apex at $0.00000764. If SHIB holds critical support and registers a four-hour close above the guiding moving average, the digital asset should rally towards the original measured move target of $0.00001450. It would be more than an 80% gain from price at the time of writing.

A new SHIB rally will encounter resistance at the May 24 high at $0.00001204, the May 16 low at $0.00001238 and the 23.6% Fibonacci retracement of the decline beginning on May 10 at $0.00001325.

If the cryptocurrency complex resumes the bounce from the crash lows, fueling FOMO, Shiba Inu price could reach the 38.2% retracement at $0.00001793 before a notable pullback.

It is essential to note that Shiba Inu price has closed with four inside days over the last seven trading days, reflecting a heightened level of indecision among the ranks of SHIB investors. Some of the indecision is a function of the volatility in the broader market and a reluctance to commit to the new but extraordinarily hyped cryptocurrency. Hence, Shiba Inu price may require a compelling catalyst to resolve the lack of decisiveness.

SHIB/USD 4-hour chart

SHIB/USD 4-hour chart

A four-hour close below the apex at $0.00000764 would void the bullish SHIB narrative. A decline below the May 19 low at $0.00000607 would confirm a negative outlook and leave Shiba Inu price vulnerable to continuing the larger downtrend originating on May 10.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Cardano whales enter buying spree before the Vasil hard fork

Cardano whales enter buying spree before the Vasil hard fork

Cardano price is showing an interesting set up as it struggles to make a move above a crucial support level. A rejection here could lead to a buying opportunity for patient investors before ADA explodes.

More Cardano News

Why Dogecoin enters 50% bull rally despite founder’s remarks on Elon Musk

Why Dogecoin enters 50% bull rally despite founder’s remarks on Elon Musk

Dogecoin price has been coiling up like a spring for roughly ten days, indicating that a massive move is about to occur. The congestion will likely lead to a bullish move for DOGE that is brimming with volatility.

More Dogecoin News

SafeMoon price readies for a 40% breakout

SafeMoon price readies for a 40% breakout

A brief technical and on-chain analysis on SafeMoon price. Here, FXStreet's analysts evaluate where SFM could be heading next.

More SafeMoon News

Why a 20% rally for Crypto.com price makes sense now

Why a 20% rally for Crypto.com price makes sense now

Crypto.com price is on the verge of flipping a crucial resistance barrier into a support level. Assuming this conversion occurs, CRO will be primed for a quick expansion to the next hurdle.

More Crypto.com News

Bitcoin: The last rebound before capitulation

Bitcoin: The last rebound before capitulation

Bitcoin is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the higher time frames suggests that the bottom is not in yet.

Read full analysis

BTC

ETH

XRP