- Shiba Inu price edges close to triggering a rally after elaborate consolidation inside a Po3 setup.
- A successful breakout could send SHIB up from 20% to 27% to tag the $0.00000964 and $0.0000101 levels, respectively.
- A daily candlestick close below the $0.00000684 support level will invalidate the bullish thesis for the dog-themed cryptocurrency.
Shiba Inu price has set up a Power of 3 setup, which forecasts massive gains for the altcoin. The predicted rally, however, is contingent that SHIB can flip a critical resistance level into a support floor.
Also read: Shiba Inu introduces ‘Shibacals’ to link nfts to real-world items – SHIB jumps
Shiba Inu price edges closer to catalyzing a swift rally
Shiba Inu price has shown incredible resilience to bears over the past few days. The result of which is a 25% ascent in the last nine days. Considering the price action of SHIB between May 8 and June 24 reveals the foundation of a Power of Three (Po3) setup.
This technical formation contains three distinctive phases:
- The asset needs to consolidate above a significant support level, which in SHIB’s case is the $0.00000791, This is the accumulation phase.
- Following this stage, the asset drops lower to collect liquidity below a key swing low and take out early bulls, which is a clear sign of manipulation. Hence, this is the manipulation phase.
- The last stage involves a recovery above the recently broken critical support level, which will confirm the start of the next phase - Distribution.
The last phase is the most volatile one and often results in massive moves.
Currently, Shiba Inu price is edging closer to recovering above the $0.00000791 hurdle and flipping it into a stable support level. Doing so will confirm the breakout from the Po3 setup and kick-start a distribution phase for SHIB.
The ideal take-profit levels for Shiba Inu price include $0.00000964 and $0.0000101, which are roughly 20% and 27% away from the current position at $0.00000797.
SHIB/USDT 12-hour chart
While the Po3 setup for Shiba Inu price hints at a minimum of 20% gain for SHIB holders, a failure to break above the $0.00000791 will signal a weak buyers’ camp. Furthermore, a breakdown of the $0.00000684 support level will invalidate the bullish thesis for the dog-themed cryptocurrency.
In such a case, Shiba Inu price could slide 6.30% and retest the June 14 swing low at $0.00000641.
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
Editors’ Picks
Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery
Ripple made a comeback above $0.48 on Tuesday and hovers above that level in Wednesday’s European session. Ripple on-chain metrics such as transaction volume and Network Realized Profit/Loss have turned bullish, supporting a recovery in the altcoin.
Bitcoin price falls amidst German government transfers, miners activity
Bitcoin (BTC) extends correction on Wednesday and hovers around $61,000 after finding resistance near the $64,000 level on Monday. Recent on-chain data indicates heightened selling activity from Bitcoin miners early in the week.
Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds
Bitcoin wipes out gains from the last week of June and falls below $60,000 on Wednesday. Ethereum and top altcoins ranked by market capitalization erased gains as the inflation outlook worsened. Ripple holds on to recent gains and hovers above $0.48 on Wednesday.
Three reasons why altcoins could shake off losses this week
On-chain data from Santiment shows that altcoins are currently in the opportunity zone, or generating buy signals. The top three altcoins in the buy zone are Basic Attention Token (BAT), Chromia (CHR), and Highstreet (HIGH), per Santiment.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.