After last week’s recovery rally, Shiba Inu (SHIB) price showed a minor pullback to the $0.000028 mark, discounting the meme coin by 15%. The coin price rebounds from the 50-day SMA and gradually approaches the $0.000033 resistance. A bullish breakout from this resistance would complete the inverted head and shoulder pattern, triggering a long entry opportunity.
Key technical points:
- The SHIB buyers flipped the 50-day SMA into a valid support level
- The intraday trading volume in SHIBA/USDT is $1.3 Billion, indicating a 16% loss.
Source- Tradingview
The Shiba Inu (SHIB) recovery rally soared 70% from the $0.00002 support and reached a stiff resistance of $0.0000328. The buyers tried several attempts to breach this resistance, but the intense selling pressure reverted the SHIB price by 15% to $0.000028.
However, the flipped support of the 50-day SMA prevented the further decline and turned the price around so buyers could rechallenge the overhead resistance($0.0000328).
Moreover, the coin chart also shows an inverted Head & Shoulder pattern, which could reinforce the buyers to continue an upward march.
The flattening of the 50-day SMA suggests sellers are losing their grip. The 100-SMA coincides with the overhead resistance of $0.00004, providing an extra edge if buyers manage a bullish breakout.
The MACD indicator’s lines have recently entered the positive territory. However, the fading greens on the histogram chart indicate the weakness of the bullish momentum.
SHIB Price Resonates In A Flag Pattern
Source-tradingview
The 4-hour technical chart displayed a bullish continuation Flag pattern. A bullish breakout from the pattern’s resistance trendline would assist buyers to breach the $0.0000328 resistance and complete the H&S pattern.
If they succeed, the next significant resistance for SHIB price is 25% up at $0.00004. Furthermore, a bullish breakout from this following resistance would provide better confirmation for trend reversal.
- Resistance levels- $0.000033, and $0.0000
- Support levels are $0.0000264 and $0.0000196.
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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Source: https://coingape.com/markets/shiba-inu-price-break-resistance-target-000005/