The 4-hour SHIB chart reflects a clear Elliott Wave structure. The SHIB is undergoing an extended ABC correction within a descending wedge.
The decline from the previous wave (v) peak from Dec. 8, at $0.00003307, formed an ABC corrective pattern, testing key Fibonacci retracement levels.
SHIBUSD ABC correction within a descending wedge | Credit: Nikola Lazic/TradingView
SHIB is currently consolidating within the $0.00001478 – 0.00001550 support range, aligning with the green horizontal support zone.
Historically, price reactions at this zone have indicated possible accumulation phases before a reversal.
However, a clean breakout above $0.00001701 (0.786 Fib, descending wedge’s upper boundary) would be necessary to confirm any bullish reversal.
From an Elliott Wave perspective, SHIB seems to be in the final stages of a complex corrective wave. If this holds true, a breakout from the wedge could signal the beginning of a new impulsive wave.
Conversely, a failure to hold the $0.00001478 support could push the price toward the $0.00001264 (1.0 Fib level), potentially extending the correction.
Momentum indicators, including the 4-hour Relative Strength Index (RSI), show near-oversold conditions, suggesting selling pressure might be weakening.
The last time RSI hit these levels, SHIB experienced a strong bounce, making it an important signal to watch.
SHIB Price Prediction
The 1-hour chart provides a more detailed perspective on SHIB’s short-term price movements.
Currently, SHIB is approaching a decision point within the descending wedge, where two primary scenarios emerge:
Bullish Breakout Scenario: If SHIB successfully breaks above $0.00001701, the next resistance lies at $0.00001946 and $0.0002044 (0.618 Fibonacci retracement). A confirmed close above this level could push SHIB toward $0.00002285 (0.5 Fib retracement), with an extended target near 0.00002526 (0.382 Fib). Given the downward exhaustion and the RSI positioning, this breakout scenario is plausible, especially if volume increases alongside price action.
Bearish Continuation Scenario: If SHIB fails to maintain its support above $0.00001478, it could continue downward, targeting $0.00001264 (1.0 Fibonacci retracement). If market conditions deteriorate, the descending wedge formation would extend into an additional corrective phase, with a potential deeper retracement toward $0.00000683.
SHIBUSD two scenarios ahead | Credit: Nikola Lazic/TradingView
Volume remains a key factor in determining the validity of either scenario. If SHIB moves upward with strong volume, the breakout will be confirmed.
However, a low-volume push might result in another rejection, leading to further consolidation.
Critical Support: $0.00001264 (1.0 Fibonacci level, last support).
Short-Term Target: Above $0.00002285 if momentum sustains.
Invalidation Zone: Below $0.00001264, signaling further downside potential.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis.
Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information.
