Since its record high at the end of October, the market value of the meme cryptocurrency Shiba Inu (SHIB) has shrunk by more than 50% in three weeks.
SHIB price After being corrected by nearly 55% from the historical high of 0.00008854 USD, it fell to a low of 0.00004251 USD on November 19th. Its price regained a small portion of its lost ground on Friday, but due to weak trading volume, the move seemed hesitant—that is, few traders supported the rebound trend.
Some analysts pointed out that since October 1st, the price of SHIB has soared by more than 1,100%, so a sharp correction in its market is inevitable.
For example, an independent market analyst under the pseudonym John Wick, Call The continued price correction of SHIB is a “top signal” and therefore implies that there will be more selling in the future trading days.
“Buy Dipping Sauce”
In the cryptocurrency market, price fluctuations of 50% or more are not uncommon. For example, Bitcoin (Bitcoin) In less than 30 days earlier this year, it plummeted from approximately US$65,000 to less than US$30,000. But then, BTC The rebound hit a record high of $69,000.
At the core of Bitcoin’s volatility rebound is a widely circulated narrative that predicts it as a hedge against rising global inflation.At the same time, for Shiba Inu, the core bullish narrative is still “community” because statement David Gokhshtein, one of the most popular spokespersons for the token.
The founder of Gokhshtein Media and CEO of PAC Protocol reminded that despite the lack of strong support from celebrities and billionaires, Shiba Inu’s bullish performance this year is due to the strengthening of community support.
even $FLOKI Their marketing will bring my attention here.
-David Gokhshtein (@davidgokhshtein) November 13, 2021
Gochstein Tweet On Friday, he asked who among his followers was “buying on dips”, thus reiterating his confidence that SHIB prices might rebound, even after the price corrected more than 50%.
Bullish technical outlook
Shiba Inu’s continued price adjustments make it look like a Bull flag range, Which increases the possibility that the token will continue to rise in the future.
Specifically, after the price has risen strongly, a short pause in the trend will appear as a bullish flag.
The pattern looks like a downward sloping channel/rectangle, represented by two parallel downward trend lines. Usually, the bull flag will cause the price to break the upper trend line to a level equal to the height of the previous uptrend (called the flagpole).
Having said that, the next time SHIB will try to break the upper trend line of its flag shape, if accompanied by an increase in trading volume, it may cause the price to rise to $0.00010000.
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