Shiba Inu (SHIB) could retest the $0.00002 level after forming a “rising three methods” pattern. As the bearish momentum weakens, Shiba Inu price may retest this level as early as next week, depicting a 48% rally from its current price.
Despite having a bullish technical outlook, Shiba Inu faces headwinds as the broader market sentiment shifts bearish following $655 million in liquidations, as most crypto prices dropped. At press time, SHIB trades at $0.0000135 with a 6% decline. 24-hour trading volumes were up by over 30% according to CoinMarketCap data, which is likely due to a spike in selling activity.
Shiba Inu Price Targets $0.00002 Amid “Rising Three Methods Pattern”
Shiba Inu has formed a “Rising Three Methods” pattern on the weekly chart. This pattern usually appears during an uptrend where the price forms a large body bullish candlestick, followed by three subsequent red candles with higher lows.
Shiba Inu price has yet to complete this pattern, as it needs a fourth green candle that surpasses the previous high. To do so, the price has to reach the 43.18% Fibonacci level of $0.0000582.
After SHIB completes this pattern after reaching this key level, it will confirm that the bullish trend that commenced in early May could continue, and this may push Shiba Inu’s price to $0.0000218. This level could be achieved next week, if the momentum in the broader crypto market turns bullish again.
Once Shiba Inu price attains this level, the next bullish leg may push the top meme coin to as high as $0.000033, at which point SHIB will have created a new one-year high.
The AO histogram bars also show a bullish outlook as they turn green despite remaining below the zero line. This is a sign that the bearish momentum that caused SHIB’s uptrend to weaken last week is growing weak, giving room for further gains.
The above outlook, suggesting Shiba Inu price may break out to $0.00002 next week, may fail to play out if the RSI continues to decline. The RSI currently stands at 44, and unless it crosses above 50, Shiba Inu price will continue facing weakness.
Long Liquidations Hit $1.09M
After Shiba Inu flashed a warning sign earlier this week, more than $1.09 million in long positions have been wiped out, marking the highest level of long liquidations in one week, and this is likely the main catalyst of the recent decline.
As these long positions close, it takes out a large number of leveraged positions that could pose a risk to SHIB price. After this long squeeze, SHI price could have room to resume its early May bull run and hit $0.000022 by next week.
For a long-term forecast on Shiba Inu’s price performance from 2025 to 2030 – Read This
Frequently Asked Questions (FAQs)
The “Rising Three Methods” pattern shows that SHiba Inu price is on the verge of a bullish reversal. It shows that the bull run that commenced in May could continue.
The next Shiba Inu price rally may be driven by a surge in buying pressure and the resumption of bullish trends across the broader market.
The surging long liquidations have a short-term bearish impact on SHIB price. However, it gives room for a bullish reversal to $0.00002 as excess leverage is flushed out.
muthoni
Muthoni Mary is a seasoned crypto market analyst and writer with over three years of experience dissecting blockchain trends, price movements, and market dynamics. With a sharp eye for technical analysis and an in-depth understanding of on-chain metrics, she delivers insightful, data-driven content that helps investors navigate the fast-paced world of digital assets.
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.
Source: https://coingape.com/markets/shiba-inu-price-analysis-rising-three-methods-pattern-hints-0-00002-retest-next-week/
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