Shiba Inu (SHIB) is facing a critical moment as it teeters on the edge of consecutive death crosses—a rare and bearish technical formation that could shape its short-term price trajectory.
🔻 What’s Happening?
A local death cross, where the short-term moving average dips below a longer-term one, has already triggered, dragging SHIB into a downward spiral. Now, analysts are watching closely as a second, more significant death cross looms, potentially involving longer timeframes like the 50-day and 200-day MAs.
📉 Why It Matters
Historically, death crosses have signaled extended bearish phases in the crypto market. For SHIB, this pattern could suggest increased selling pressure and further correction unless bulls intervene swiftly.
🔍 Key Scenarios to Watch:
1. Continuation of Downtrend – If the second death cross confirms, SHIB could retest support zones near recent lows, with downside targets potentially revisiting early 2024 levels.
2. False Signal & Recovery – In some cases, death crosses act as contrarian indicators. If trading volume surges or SHIB gets a fundamental catalyst (e.g., ecosystem updates, whale activity), a reversal rally could trap bears.
3. Consolidation – SHIB might trade sideways, creating a zone of accumulation before its next significant move, depending on broader market conditions.
📊 Strategy Tips for SHIB Traders on Binance:
Use stop-losses in this high-volatility environment.
Watch SHIB/USDT volume spikes and RSI divergences.
Follow ecosystem news for signals beyond technicals.
💬 Will SHIB defy the odds or sink further under pressure? Stay tuned, trade smart, and keep your strategy flexible.
Trade SHIB and manage risk with advanced tools on Binance.