• Shiba Inu price lost over 4.60% to trade at $0.000042 amid fake giveaway scams.
  • SHIB has formed a descending triangle pattern over the past few days.
  • A bearish engulfing candle near $0.000044 level is signaling that sellers have the upper hand. 

Shiba Inu price has been consolidating since Nov. 18, forming a bearish pattern on its 4-hour chart. A spike in selling pressure could push SHIB even lower despite the significant losses already incurred. It will all depend on whether a critical support level can hold. 

Shiba Inu price looks ready to break $0.000042 to the downside 

Shina Inu technical outlook remains bearish as the token holds below the 13 and 21-day exponential moving averages. These two EMAs provide resistance at $0.000044 level, and the formation of candles below these lines is indicative of a downward trend. 

At the moment, the 12th-largest cryptocurrency by market cap is trading with a strong bearish bias. SHIB has formed a descending triangle where the pattern’s x-axis is acting as support at $0.000042. 

Typically, descending triangle patterns tend to exhibit a bearish breakout. If this were to happen, an increase in selling pressure around the current price levels could open additional room for Shiba Inu price to drop by 20% towards $0.000035.  

A series of technical indicators such as the relative strength index or RSI adds credence to a pessimistic outlook as it hovers around 42. Additionally, SHIB has closed a bearish engulfing candle indicating that sellers remain dominant. 

Shiba Inu (SHIB) 4-hour timeframe - Descending Triangle Pattern 

Shiba Inu (SHIB) 4-hour timeframe - Descending Triangle Pattern 

Still, Shiba Inu can shrug off the bears if it manages to stay above $0.000042. Holding above such a crucial level of support can encourage traders to open long positions, catapulting SHIB to the  $0.000044 resistance level. If the upward pressure is strong enough for the meme coin to slice through $0.000044, an upswing to $0.000052 or $0.0000056 can be expected. 

 


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.

Recommended content


Recommended Content

Editors’ Picks

Is Altcoin Season here as Bitcoin reaches a new all-time high?

Is Altcoin Season here as Bitcoin reaches a new all-time high?

Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.

More Altcoin News
Shanghai court confirms legal recognition of crypto ownership

Shanghai court confirms legal recognition of crypto ownership

A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.

More Cryptocurrencies News
BTC hits an all-time high above $97,850, inches away from the $100K mark

BTC hits an all-time high above $97,850, inches away from the $100K mark

Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.

More Bitcoin News
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.

More Shiba Inu News
Bitcoin: New high of $100K or correction to $78K?

Bitcoin: New high of $100K or correction to $78K?

Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP