The post Shiba Inu (SHIB) Paints Head and Shoulders Pattern: Possible Scenario appeared on BitcoinEthereumNews.com.

Cover image via www.freepik.com Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. On the daily chart, Shiba Inu seems to be forming a head-and-shoulders pattern, which is a bearish reversal indicator that frequently indicates possible downside in the future. There are three peaks in this formation with the middle peak (the head) being higher than the two side peaks (the shoulders) and a neckline serving as a level of support. The neckline for SHIB appears to be developing close to the $0.00002100 level. Price confirmation of the head-and-shoulders pattern could lead to additional bearish momentum if it breaks below this crucial support. Measuring the distance between the neckline and the head’s peak and projecting it downward would yield the price target for this pattern. SHIB/USDT Chart by TradingView This places a possible target in the $0.00001750 range, which is in close proximity to the 200 EMA, which is a powerful support level for SHIB. At the moment, SHIB is maintaining its position above the neckline despite slight bullish attempts to break higher. Nevertheless, low trading volumes and RSI levels hovering around neutral territory — neither significantly overbought nor oversold — indicate that momentum is weak. Related This points to traders’ hesitancy and the asset’s unclear trajectory. SHIB may invalidate the bearish pattern and target resistance at $0.00002250 and then $0.00002500 if it can maintain above the neckline and regain…

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Filed under: News - @ January 12, 2025 11:23 am