Shiba Inu price in consolidation as bulls try to keep control

Shiba Inu price is seeing further respect of the pennant formation on a weekly chart.
SHIB price saw bulls trying to keep price action above the weekly pivot at $0.00005433 but failed.
With the consolidation continuing, the weekly RSI is pointing to overbought.

Shiba Inu price is seeing lower highs and higher lows as SHIB price is getting squeezed from both sides. The pennant looked ready for a bullish breakout, but the US inflation print rattled global markets and pressured cryptocurrencies. As tailwinds start to fade and the weekly Relative Strength Index (RSI) trades in overbought, expect SHIB price to correct further and move towards $0.00004500.

Shiba Inu price sees bulls losing grip as momentum moves against

Shiba Inu price saw bulls trying to push price-action back above the weekly pivot level at $0.00005433 but got stopped in their tracks as tailwinds started to fade after the US inflation print on Wednesday. SHIB price started to trade further to the downside as price action to the upside got capped by the red descending trend line. With the green ascending trend line coming in from below, SHIB price is getting caught in a squeeze with $0.00005000 as mid-price.

SHIB price is expected to fall further to the downside if the weekly pivot cannot keep the price elevated above $0.00005433. Expect, in that case, the green ascending trend line to be tested around $0.00004500. A break below in case market sentiment would turn over would help bears another leg lower towards $0.00003535, an essential historical level with the high from the first week and the low in the last week of October.

SHIB/USD weekly chart

If bulls can shrug off the weekly RSI in oversold territory, and market sentiment shifts back to being a tailwind instead of a headwind, expect a bullish breakout of the pennant within first instance a test on $0.00007500, which falls in line with last weeks high. If bulls can find further momentum and buy-side volume picks up even further after the break above the red descending trend line, expect a possible retest of the all-time high at $0.00008860.

Share: Cryptos feed

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.