Shiba Inu Follows Dogecoin, Bitcoin Into This Pattern: What To Watch

Shiba Inu SHIB/USD was sliding over Thursday in tandem with Dogecoin DOGE/USD and Bitcoin BTC/USD.

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A number of cryptocurrencies, including Dogecoin and Bitcoin, have settled into bear flag patterns on their daily charts and Shiba Inu is no exception.

The bear flag pattern is created with a steep drop lower forming the pole, which is then followed by a consolidation pattern that brings the stock higher between a channel with parallel lines or into a tightening triangle pattern.

• For bullish traders, the “trend is your friend” (until it’s not) and the stock may continue to rise upward within the following channel for a short period of time. Aggressive traders may decide to purchase the stock at the lower trendline and exit the trade at the higher trendline.
• Bearish traders will want to watch for a break down from the lower descending trendline of the flag formation, on high volume, for an entry. When a stock breaks down from a bear flag pattern, the measured move lower is equal to the length of the pole and should be added to the highest price within the flag.

A bear flag is negated when a stock closes a trading day above the upper trendline of the flag pattern or if the flag rises more than 50% up the length of the pole.

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The Shiba Inu Chart: Shiba Inu’s bear flag pattern began on June 10, with the pole formed between that date and June 13 and the flag forming over the 24-hour trading periods that have followed. The measured move, if the pattern is recognized, is about 30%, which suggests the crypto could plummet toward the $0.00000625 mark.

• Shiba Inu is trading in a downtrend, with the most recent lower high printed on June 8 at $0.00001091 and the most recent confirmed lower low formed at the $0.0000074 mark on June 13. If Shiba Inu breaks down from the bear flag pattern, it will also print another lower low.
• The crypto is likely to bounce up over the next few days even if it…