Shiba Inu (SHIB) Downtrend continues
The Shiba Inu (SHIB) has been declining since August, nearing its lowest point of the year.
During this period, it broke below the $0.0000080 support level, which has provided support for more than a year.
The Shiba Inu offers an annual low cost.
The weekly time frame analysis shows the Shiba Inu falling in the spot as the long-term bearish resistance line rejected the price in August. The trend has stopped for 434 days.
Since the rejection, the altcoin has also fallen below the critical horizontal support area of $0.0000080. Except for the difference in June (green circle), the support is made for one year.
After such a breakdown, the price usually retests the same position and confirms it as resistance.
But this was not the case with Shiba Innu. Instead, the meme coin continues to decline.
The Relative Strength Index (RSI), an important indicator for traders to determine market conditions, has shown weakness for the passage of the cryptocurrency.
RSI values above 50 combined with an upward trend usually indicate a bullish market, while values below 50 indicate the opposite.
In this example, the RSI rejected the 50 level in August (red circle) and is currently down.
SHIB Price Forecast: Will the price fall to annual lows?
Daily schedule analysis gives mixed readings. Since August 14, the price of SHIB has declined in a descending parallel channel.
These channels often contain corrective activity, which means that an eventual breakout will be the outlook for the altcoin's future.
While trading in the channel, SHIB price has reached both support (green icon) and resistance trend lines (red icon). It is currently close to the channel's defense line.
RSI also gives mixed readings. While the indicator is increasing, it is still below 50 (red circle).
Therefore, the Shiba Inu price forecast will determine whether or not the resistance line of the channel will break.
SHIB can increase by 30% to $0.0000095 in the event of a crash. On the other hand, a rejection can lead to a 13% decline in the support line of the channel at $0.0000063.
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Disclaimer
In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be construed as financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions.
