- In a flat bearish candle, Shiba Inu price broke below the 200-day SMA last week.
- SHIB price got compressed this week and slid further to the downside as markets struggled to rebound.
- Expect a continuation of the downtrend to test this week's low at $0.00001708.
Shiba Inu (SHIB) price is not enjoying the past two weeks of price action is the price has slid to the downside, burning through roughly 40% of value. Although bulls have tried to catch the price action in SHIB for a turnaround, bears weigh too heavy on SHIB together with headwinds from global markets and geopolitics as main themes for the past week. Expect price action to slide further to the downside and go for a retest of $0.00001708, with bulls and investors awaiting the right sentiment in global markets to get involved.
Shiba Inu set for another drop between 5% to 10% before bulls will engage
Shiba Inu is not in a sweet spot and has not seen bulls stepping in to save the day, although there have been signs of bulls trying to overhaul the current trend. But headwinds coming from global markets have proven too big to overcome. The Fed tightening cycle announcement has scared investors and has brought a more subtle risk-off tone, which filters through in Nasdaq on the downside. This also proves why bulls have not overcome the current down march in SHIB price action.
SHIB price is technically not in a sweet spot either. As this week looks to be set to close below the 200-day Simple Moving Average at $0.00002495, that is to be conceived as a very bearish signal that could set the tone for more downside to come. It looks inevitable for next week that bears will keep the upper hand and will retest the low of last week at$0.00001708 for a retest and possible attempt for a break to the downside.
SHIB/USD weekly chart
It has often been the case that sooner or later, investors will look beyond the taper tantrum and will start to see the potential of cryptocurrencies, which will trigger a quick reversal and could push bears against $0.00002495 in the first phase. With bears pushed against the 200-day SMA, a quick breach could be triggered and hit $0.00002640 to the upside, taking out several stops from bears in the process.
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.
Recommended Content
Editors’ Picks
TRON gains 10% in 2024, supply of stablecoins reaches over $50 billion in Q1
TRON, a blockchain-based digital platform, has seen positive growth in the first quarter of 2024, as seen in a Messari report. TRON noted gains across several metrics like market capitalization, revenue and total value locked.
XRP hovers near $0.50 as Ripple CTO addresses concerns related to stablecoin launch
XRP is hovering near $0.53 on Friday, spending nearly all week below $0.55. Ripple CTO David Schwartz addressed concerns on stablecoin and XRP utility on Thursday.
Terraform Labs set to restrict access for users in the US after recent ruling in SEC lawsuit
Blockchain company Terraform Labs said Thursday that it will restrict access to some of its products and services for US-based users as it expects to receive a court order soon in light of its legal battle against the US Securities and Exchange Commission (SEC).
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?