• Shiba Inu price lost over 4.60% to trade at $0.000042 amid fake giveaway scams.
  • SHIB has formed a descending triangle pattern over the past few days.
  • A bearish engulfing candle near $0.000044 level is signaling that sellers have the upper hand. 

Shiba Inu price has been consolidating since Nov. 18, forming a bearish pattern on its 4-hour chart. A spike in selling pressure could push SHIB even lower despite the significant losses already incurred. It will all depend on whether a critical support level can hold. 

Shiba Inu price looks ready to break $0.000042 to the downside 

Shina Inu technical outlook remains bearish as the token holds below the 13 and 21-day exponential moving averages. These two EMAs provide resistance at $0.000044 level, and the formation of candles below these lines is indicative of a downward trend. 

At the moment, the 12th-largest cryptocurrency by market cap is trading with a strong bearish bias. SHIB has formed a descending triangle where the pattern’s x-axis is acting as support at $0.000042. 

Typically, descending triangle patterns tend to exhibit a bearish breakout. If this were to happen, an increase in selling pressure around the current price levels could open additional room for Shiba Inu price to drop by 20% towards $0.000035.  

A series of technical indicators such as the relative strength index or RSI adds credence to a pessimistic outlook as it hovers around 42. Additionally, SHIB has closed a bearish engulfing candle indicating that sellers remain dominant. 

Shiba Inu (SHIB) 4-hour timeframe - Descending Triangle Pattern 

Shiba Inu (SHIB) 4-hour timeframe - Descending Triangle Pattern 

Still, Shiba Inu can shrug off the bears if it manages to stay above $0.000042. Holding above such a crucial level of support can encourage traders to open long positions, catapulting SHIB to the  $0.000044 resistance level. If the upward pressure is strong enough for the meme coin to slice through $0.000044, an upswing to $0.000052 or $0.0000056 can be expected. 

 

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

Fed’s Powell calls for proper crypto regulations as Bitcoin price shoots beyond $20,000

Fed’s Powell calls for proper crypto regulations as Bitcoin price shoots beyond $20,000

Bitcoin price is exploring highs above $20,000 on Tuesday after holding support at $18,800 for nearly four days. Green sprouts are noticeable across the market, led by Uniswap price’s 16.70% move to $6.60

More Bitcoin News

Ethereum price eyes $1,450 as post-Merge tax problems arise

Ethereum price eyes $1,450 as post-Merge tax problems arise

Ethereum price shows a steady climb over the last twelve hours as a direct consequence of the sudden spike in Bitcoin price, which influences the whole crypto market. 

More Ethereum News

XRP price cools off before preparing for its next 100% rally

XRP price cools off before preparing for its next 100% rally

XRP price shows an interesting development in the lower time frame that hints at a potential retracement. The higher time frame scenario also entertains the possibility of a deeper pullback after its recent explosive move.

More Ripple News

MATIC Price Prediction: These signals are key to catching Polygon’s 20% rally

MATIC Price Prediction: These signals are key to catching Polygon’s 20% rally

MATIC price continues to consolidate around the range low for more than a week and shows no signs of breaking out. Investors should pay close attention and anticipate the bullish resurgence, which could trigger an explosive move.

More Polygon News

Bitcoin makes a bullish comeback amid regulatory tension, but lacks confirmation

Bitcoin makes a bullish comeback amid regulatory tension, but lacks confirmation

Bitcoin price takes the first step to recovery but needs solid confirmation that will arrive after a flip of the $19,539 level into a support floor. After a successful flip, investors could expect a move up to an intermediate hurdle at $20,737.

Read full analysis

BTC

ETH

XRP