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Shiba Inu stagnation period might result in 20% correction

  • Shiba Inu price has spent ten days consolidating inside a triangle pattern.
  • Extremely choppy and indecisive price action makes short-term speculation difficult, and bulls and bears are trading in a painful market condition.
  • Indecision is likely to end soon as Shibu Inu approaches a breakout zone ahead.

Shibu Inu price continues to contract and cause frustration for bulls and bears. However, Shibu Inu is trading near the apex of the triangle pattern it is currently inside. Therefore, a breakout lower is likely to occur very soon.

Shibu Inu price could drop to $0.000006; a bearish breakout from the triangle is necessary for further downside pressure

Shibu Inu is presently trading inside the very end of a triangle pattern. Typically, breakouts from any pennant or triangle pattern occur within the last 1/3rd of the triangle. However, Shibu Inu is trading near the pattern's apex and has one more day before it will slide out of the pattern due to time and not price.

The final condition required for a -20% drop for Dogecoin killer Shibu Inu price is likely the Chikou Span in the Ichimoku Kinko Hyo system. The Chikou Span is currently inside the Cloud and trading inside the body of a candlestick. For a clear bearish breakout to occur, the Chikou Span would need to close below the candlesticks and the Cloud. The price level for this change would be around the $0.0000069 level.

SHIB/USD Daily Ichimoku Chart

However, given the constricted nature of Shibu Inu price, it will not take much for buyers to take control of the market. A close of Shibu Inu price at or above $0.000008 would create sufficient conditions for an Ideal Ichimoku Bullish Breakout pattern to occur. At $0.000008, Shibu Inu price would be above the Cloud, Tenkan-Sen and Kijun-Sen, while the Chikou Span would be above the candlesticks and the Cloud. Substantial increases in Shibu Inu value would be likely if the Ideal Ichimoku Breakout pattern were to develop.


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Author

Jonathan Morgan

Jonathan Morgan

Independent Analyst

Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.

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