Cryptocurrency analyst FXStreet analyst Filip L predicts further declines for Shiba Inu. More precisely, he estimates that the digital currency meme will retreat another 20% after devaluing almost 2% in the last week.
In a general context, SHIB was not the only cryptocurrency that registered negative price changes in the last hours and days. After all, the major digital currencies on the market are trading at a low this Friday.
lateralized market
Since the massive crash in May, cryptocurrencies have been struggling to regain their prices. The spirits rose further after some crypto assets outlined a reaction, but fell again.
Sin embargo, no sucedió lo mismo con la criptomoneda Shiba Inu, que parece estar a la zaga de otros activos digitales en términos de recuperación de su valor.
Según el analista, SHIB tuvo dos tendencias descendentes consecutivas a partir del 6 de julio. Luego alcanzó su nivel más bajo el 9 de julio, cuando retrocedió a $ 0.0000769.
“So this level seems justified because the SHIB has the 200-day simple moving average supporting the price action. Overall, SHIB sees that the 200 four-hour SMA played the same role in June,” he said.
Also according to the analyst, just below this SMA, Shiba Inu also has a blue zone between 0.00000751 dollars and 0.00000769 dollars, where buyers will gather:
“Next, Shiba Inu has RSI flirting with level 30 that would mark him as oversold. So the time for buyers to purchase some Shiba Inu is here.”
20% drop for SHIB
In this sense, the analyst noted that, although Shiba Inu appears ready for a recovery, the cryptocurrency still needs to break the negative pattern built on the chart and that draws a downward spiral in its value.
With a possible drop of up to 20% on the horizon, the analyst said the next psychological level is at $ 0.00000700. This level, he said, also served as support when SHIB fell in late June.
On the bright side, Shiba Inu is targeting $ 0.00000827. In this case, according to Filip L, even $ 0.00000849 looks promising.