• Shiba Inu price could be headed for a 35% nosedive if the token breaks below $0.00002817.
  • SHIB could fall further to discover reliable support before tagging the lower boundary of the governing technical pattern.
  • Shiba Inu must slice above $0.00003549 to reverse the period of underperformance.

Shiba Inu price is on the verge of a significant decline if the bulls fail to claim $0.000002817 as support. Sliding below the aforementioned foothold could put a 35% descent on the radar. 

Shiba Inu bears eye $0.00001935 next

Shiba Inu price has formed a descending parallel channel on the 12-hour chart, as SHIB continued to record lower highs and lower lows. 

Shiba Inu price attempted to slice above the upper boundary of the prevailing chart pattern on December 28 to reverse the period of sluggish performance. However, selling pressure increased and SHIB slid lower, falling back into the consolidation pattern.

The first line of defense for Shiba Inu price is at the December 4 low at $0.00002952. SHIB price may discover another foothold at the December 21 low at $0.00002817. If the token falls below this level of support, the canine-themed cryptocurrency could be at risk of a 35% slide toward $0.00001935.

The middle boundary of the governing technical pattern at $0.00002659 would act as the intermediate line of defense for Shiba Inu price before the bears prepare for the massive decline toward the lower boundary of the parallel channel at $0.00001935.

shibusdt

SHIB/USDT 12-hour chart

However, if buying pressure increases for Shiba Inu price, the first level of resistance is at the December 6 low at $0.00003269. Additional obstacles will emerge at $0.00003415, where the 50 twelve-hour Simple Moving Average (SMA) and the 21 twelve-hour SMA intersect, then at the upper boundary of the prevailing chart pattern at $0.00003549.

If the bulls manage to slice above the aforementioned line of resistance, Shiba Inu price may finally be able to witness a recovery, to reverse the period of underperformance. 

However, an additional headwind will emerge at $0.00003815, where the 100 twelve-hour SMA, 200 twelve-hour SMA and resistance line given by the Momentum Reversal Indicator (MRI) coincide. 

 

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

Can Solana price enter a 50% relief rally?

Can Solana price enter a 50% relief rally?

Solana price is in the beginnings of a quick recovery rally that could propel it back to levels that were last seen nearly two weeks ago. Two technicals back the claim for why SOL could be ready for this ascent.

More Solana News

Ethereum Price Prediction: ETH will sweep the lows at $1,500

Ethereum Price Prediction: ETH will sweep the lows at $1,500

Ethereum price displays reasons to believe in a ‘sweep the lows’ event in the coming days. Traders should approach the smart contract blockchain with caution.

More Ethereum News

Assessing the possibility of a 40% upswing for Cardano

Assessing the possibility of a 40% upswing for Cardano

Cardano price is in a spot favorable for the bulls and short-term traders as a rally might be in the works. A minor retracement will allow interested buyers an opportunity to accumulate ADA at a discount before catalyzing an explosive uptrend.

More Cardano News

Bitcoin Weekly Forecast: The last rebound before capitulation

Bitcoin Weekly Forecast: The last rebound before capitulation

Bitcoin price is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the highier time frames suggests that the bottom is not in yet.

More Bitcoin News

Bitcoin: The last rebound before capitulation

Bitcoin: The last rebound before capitulation

Bitcoin is showing bullish signs in the lower time frames, which can be taken advantage of by traders in the next couple of days. But looking at BTC from the higher time frames suggests that the bottom is not in yet.

Read full analysis

BTC

ETH

XRP