Shiba Inu (SHIB) price is approaching a descending triangle breakout without proper directional bias, according to cryptocurrency analyst Akash Girimath. The analyst states that a break of the $0.0000101 support base could cause the $0.0000074 barrier to collapse by 26%. Therefore, the analyst emphasizes that buyers should defend $0.0000101 to avoid this sale. We have prepared Akash Girimath’s analysis in his own words for our readers.
- 1 A descending triangle is forming in the price of Shiba Inu (SHIB)
- 2 Bears and bull fighting grounds for Shiba Inu
- 3 Share this:
A descending triangle is forming in the price of Shiba Inu (SHIB)
The price of the popular meme coin Shiba Inu has been consolidating between a descending trendline and a horizontal support level since May 12. As the trend lines converge, the SHIB has less room to move, which will eventually turn into a temporary move through a breakout. While descending triangles are more likely to be bearish breakouts, a perfect combination of signals could trigger a bullish breakout.
AmkNews.com As you can follow from our news, Shiba Inu price quickly recovered after the May 12 crash and set two low highs and two equal lows. When these swing points are combined using trend lines, a descending triangle is formed.
This technical formation predicts a 26% move obtained by measuring the distance between the initial high and low swing to the breakout point. For an ascending breakout, SHIB must bounce off the bottom of the triangle at $0.0000101 and produce a decisive four-hour candlestick above the hypotenuse at around $0.0000189.
Bears and bull fighting grounds for Shiba Inu
Things are much easier for the bears. If the sellers suppress the bullish momentum and break below the $0.0000101 barrier, it will trigger a bearish trend. In such a case, the theoretical target predicts a 26% collapse that sets the Shiba Inu (SHIB) price at $0.0000074.
Therefore, buyers need to defend the $0.0000101 barrier at all costs to avoid the bear trend. In this case, SHIB could rise even higher and retest the predicted target at $0.0000150.
With the price of Shiba Inu (SHIB) in jeopardy, traders need to be patient with SHIB trading. Things will improve depending on how the meme coin reacts to the support base of $0.0000101. However, breaking the said footing would invalidate the bullish argument and drop SHIB to $0.0000074.
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