• Shiba Inu price consolidates above the bull flag’s upper trend line, indicating accumulation.
  • A breakout from this sideways movement will result in an explosive uptrend to $0.00019700.
  • If SHIB produces a lower low below $0.00003280, it will invalidate the bull flag’s bullish thesis.

Shiba Inu price has been consolidating since it hit a new all-time high on October 28. Fortunately for the holders, this coiling-up has resulted in a continuation pattern that suggests an exponential move is likely to occur.

Shiba Inu price close to a breakout

Shiba Inu price has broken out of a continuation pattern known as a bull flag but awaits a resurgence of buyers to kick-start an explosive move.

From October 23 to October 28, SHIB rallied 219% to set up a new high at $0.00008850. This climb is known as a flagpole. Shiba Inu price consolidated after the rally, forming lower highs and higher lows, resulting in a flag.

This technical formation forecasts a 219% upswing to $0.00019700, obtained by adding the flagpole height to the breakout point at $0.00006220. Although Shiba Inu price breached the flag’s upper trend line on November 9, it lacks volatility. This consolidation can be considered as the last buy zone it presents before SHIB eats another zero.

Therefore, a potential spike in buying pressure that pushes Shiba Inu price to produce a decisive four-hour candlestick close above $0.00006490 will confirm the start of an upswing. However, for investors that want to be extra sure, the secondary confirmation arrives after Shiba Inu price produces a higher high above $0.00008590.

SHIB/USDT 4-hour chart

SHIB/USDT 4-hour chart

On the other hand, if Shiba Inu price fails to gather steam and break higher, it will suggest that the buying pressure has dried up. In such a case, SHIB could head lower and retest the demand zone ranging from $0.00003280 to $0.00004460.

However, a daily candlestick close below $0.00004460 will invalidate the bull flag’s bullish thesis for Shiba Inu price.

 

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