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Shiba Inu price struggles amid unfavorable crypto market conditions

  • Shiba Inu price is retesting a parallel channel's median line.
  • SHIB price volume does not yet indicate a bullish reversal.
  • Invalidation for the bearish downtrend is a touch at $0.00002700.

Shiba Inu price has breached a parallel channel, which could be early evidence of a lack of support from the bulls.

Shiba Inu price is floating on hope

Shiba Inu price is struggling to hold ground as the bears have pushed prices below a parallel channel. Today the SHIB price trades at $0.00002456 with tortoise-like price action. Traders from last month's successful trade setups may have raised their stop losses under $0.00002176 as the popular meme coin had extended targets above $0.00003000. The breach of the parallel channel is significant because it is the first time the Shiba Inu price has traded below it.

SHIB price volume is also tapering off on the 12-hour chart. Investors should consider this a signal that smart money does not want to negotiate at these prices. Shiba Inu price is likely to continue falling as there is no indication of a bottom yet.

shib 4/8/22

The only hopeful aspect for a bullish reversal is where the Relative Strength Index is positioned. The Shiba Inu price is at the limits of the buyer's level, but there is no divergence yet. At this point, buying is just a speculative dice throw. 

The downtrend will be invalid if the bulls establish price action above the median line within the parallel channel, currently at $0.00002700. If this scenario were to occur, the extended targets above $0.000030 would be back on the table, resulting in a 20% increase from the current Shiba Inu price.

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FXStreet Team

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

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