- Shiba Inu price is stuck in consolidation after weeks of continuous declining trading volume.
- SHIB could see a decline of over 50%, marking a lower low if it fails to break a critical resistance level.
- A significant reduction in social volume for the meme adds credence to the bearish outlook.
Shiba Inu price has slipped into consolidation after its hype subsided in mid-May. Now, SHIB has been stuck in a range of lower highs and slightly higher lows as indecision mounts.
Shiba Inu price faces stiff resistance ahead
Shiba Inu price is currently around 40% up from its low recorded on May 19 at $0.00000629. While SHIB is trying to make a comeback, revisiting all-time highs remains distant as the meme token would need to surge 480% for a retest.
On the 4-hour chart, Shiba Inu price has been coiling within a symmetrical triangle pattern, indicating a heightened level of indecision. The pattern’s upper trend line is formed by connecting the continuous lower highs, while the slightly higher lows of the SHIB price action have formed the lower trend line.
The measured move of the SHIB triangle is approximately 51%, creating a lower target of $0.00000403, and an upside target of $0.00001476. During this period of indecision and lack of buying pressure, Shiba Inu price could be at risk of a downward trend.
It is important to note that the SHIB price is currently struggling to move above the 50 four-hour moving average and the 100 four-hour moving average. These two indicators act as stiff resistance for Shiba Inu, especially when its volume has been dwindling.
SHIB/USDt 4-hour chart
SHIB social volume has continued to decrease since its all-time high on May 10, despite several sparse peaks in the past month. While there was a massive spike in social volume on May 25, Shiba Inu price has failed to follow suit.
Shiba Inu Social Volume
According to the social metric, Shiba Inu price has not been able to draw speculators’ attention. SHIB bulls should closely observe the meme coin’s price action as it tags the lower trend line of the symmetrical attention.
The bearish outlook could materialize if Shiba Inu price fails to hold support at the downside trend line of the chart pattern, leading to a 50% decline.
However, should a sudden spike in buying pressure transpire, Shiba Inu must break above the 50 and 100 four-hour moving averages and hold these levels as support before the bearish outlook is voided and raise the probability of SHIB price heading towards the aforementioned upper target.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Bitcoin rebounds as South Korea martial law proves short-lived
Bitcoin recovers slightly, trading above $96,000 on Wednesday, after its recent dip on Tuesday due to the political strife in South Korea. With the crisis seeming to be mostly over, BTC recovered more as the reversal of the martial law restored confidence in crypto markets.
Curve DAO price surges above $1, highest level since April 2023
Curve DAO extends gains by more than 30% on Wednesday, rallying 70% so far this week and reaching levels not seen since April 2023. On Tuesday, the announcement of CRV’s scrvUSD stablecoin launch on the Spectra ecosystem fueled the ongoing rally.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Cryptomarket stabilizes after South Korea reverses martial law
Bitcoin hovers near $95,700 on Wednesday, signaling potential weakness as technical indicators suggest a decline, while Ethereum and Ripple stabilize near key levels, hinting at a possible rally following South Korea's reversal of martial law.
Ripple's XRP sees over $4 billion in profit-taking following surge in whale activity
Ripple's XRP is down 5% on Tuesday after news of South Korea declaring martial law sparked a surge in selling activity and significant profit-taking among investors. However, whales have stepped up buying pressure as the remittance-based token looks to stage a recovery.
Bitcoin: A healthy correction
Bitcoin (BTC) experienced a 7% correction earlier in the week, dropping to $90,791 on Tuesday before recovering to $97,000 by Friday. On-chain data suggests a modest rebound in institutional demand, with holders buying the dip. A recent report indicates BTC remains undervalued, projecting a potential rally toward $146K.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.