The daily time frame Shiba Inu chart shows that the price has increased inside an ascending parallel channel since August. The upward movement caused both the support and resistance trend lines to be validated numerous times.
Technical indicators are also turning bearish. The Relative Strength Index (RSI) risks falling below 50, while the Moving Average Convergence/Divergence (MACD) has made a bearish cross.
The short-term six-hour price action and wave count support the bearish SHIB prediction. The price action shows that the short-term bounce started on Oct. 1 is inside an ascending parallel channel. Currently, the SHIB price risks a breakdown from the channel.
The wave count implies the bounce is part of wave B in an A-B-C corrective structure (white). If so, SHIB has just started wave C.
Giving waves A:C a 1:1 ratio leads to a low of $0.0000144, close to the previously outlined support trend line. Afterward, the SHIB price could begin to increase once more.
Downside Before Reversal
The daily and six-hour SHIB price charts both suggest that a downward movement is likely.
Once the Shiba Inu price breaks down from its short-term channel, it can decline 20% to its closest support before possibly reversing.
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.
Valdrin Tahiri is a cryptocurrency analyst and reporter at CCN, specializing in technical analysis with a focus on Elliott Wave theory, on-chain metrics, and fundamental research. He brings over seven years of experience in the crypto space as both a trader and writer.
He discovered cryptocurrencies in 2017 while earning his MSc in Financial Markets at the Barcelona School of Economics, which sparked a deep interest in blockchain and market dynamics. Since then, he’s contributed to top crypto outlets like BeInCrypto and CoinGape.
Valdrin also served as Community Manager of BeInCrypto’s Telegram group for three years, helping grow it into one of the largest crypto communities worldwide. His expertise in market structure and price patterns allows him to break down complex trends into clear, actionable insights.
He’s published thousands of articles covering altcoins, Bitcoin cycles, and macro trends.
