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Shiba Inu Price Prediction: SHIB bears eye $0.00000731 on a firm break below 21-DMA

  • SHIB price sees a bearish consolidation within a symmetrical triangle on the daily chart.
  • Shiba Inu needs acceptance below 21-DMA to test the $0.00000731 support.
  • RSI remains bearish while 50-DMA caps the upside attempts.

Heading into the weekend, Shiba Inu price extends its recent sluggish momentum, as it remains in a bearish consolidative mode after Thursday’s 10% decline.

The canine-themed coin failed to sustain the gains fuelled by the launch of Shibaswap, a decentralized exchange, earlier this week. The SHIB rallied hard to hit weekly tops at $0.000009775 in a quick reaction to the launch on Tuesday.

On its launch, Shiba Inu said that its platform gives users the ability to DIG (provide liquidity), BURY (stake), and SWAP tokens to gain WOOF Returns through its “sophisticated and innovative passive income reward system.”

SHIB price gearing up for a fresh downswing?

As observed on the daily chart, the Shib price is battling the short-term critical support at the 21-Daily Moving Average (DMA) of $0.000007955.

The bulls have managed to defend the latter for the second straight day so far Thursday’s steep losses.

A daily closing below the 21-DMA is needed for SHIB price, in order to resume the downtrend towards the rising trendline support at $0.00000731.

It’s worth noting that Shiba Inu price has been wavering within a symmetrical triangle formation since early June.

A sustained break below the abovementioned trendline support is likely to validate a triangle breakdown, opening floors for a test of the immediate cap located at $0.000006995, where the upward-sloping 100-DMA aligns.

The 14-day Relative Strength Index (RSI) trades flatties but holds below the midline, suggesting that the bears still maintain their grip on SHIB price.

SHIB/USDT: Daily chart

Alternatively, if the SHIB bulls manage to find a strong foothold above the 50-DMA at $0.000008141, then a rebound towards the falling trendline resistance at $0.00000965 could be in the offing.

However, Thursday’s high of $0.000008820 could test the bullish commitments on its way to the triangle resistance.

Check out our video for in-depth SHIB price analysis

Author

Dhwani Mehta

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

More from Dhwani Mehta
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