Cryptocurrencies continue their negative trend as the price of Bitcoin fluctuates and returns. BTC is back at $27,600. Shortly after surpassing $28,000 today, the king of cryptocurrencies reversed its direction. Shiba Coin and other altcoins continue their negative trend as they cannot sustain their strength at higher levels compared to BTC.
Shiba Coin Analysis
The second largest meme coin has been continuing its negative trend since it fell below the descending resistance trend line in August. Sellers pushed the price below the $0.0000080 support area. Readings on the weekly chart indicate that the price may make deeper lows as long as the closings remain below the resistance line.
A similar outlook exists for many altcoins. The main reason for this is the indecisive movement of BTC, as we mentioned earlier. Despite many positive developments, the king of cryptocurrencies could not make a significant jump due to regulatory pressures and tight Fed policies. This situation caused altcoins to fall to deeper lows and below the trend lines.
The resistance trend line has been in place for 420 days so far. The rejection in August gave momentum to the downward movement. The loss of the critical $0.0000080 support was negative, and this area served as support except for the deviation in July.
Shiba Coin Price Prediction
The readings on the daily chart cannot draw a clear path for Shiba Coin. SHIB price has been declining within a descending parallel channel since August 14. We saw a bounce from the support line of this channel on September 11. As the meme coin reached the resistance line of the channel, it was rejected on October 2 and has been falling since then. At the same time as the rejection, the RSI failed to surpass 50.
The most likely scenario for Shiba Coin seems to be a drop to the $0.0000065 region. The price of BTC dropping below $27,500 and the inflation data expected on Friday are not supportive of the bulls. Despite the bearish prediction, it can be said that the correction is completed if Shiba Coin can break free from the channel.
In the bullish scenario, the $0.0000095 target remains relevant.
