Although the price of the popular meme-inspired cryptocurrency, Shiba Inu (SHIB), has lost over 35% in the past two weeks, its misadventures may not end there. The fact is that on the price chart of theShiba Inu token, a "death cross" is rapidly forming, as the event is called, when a lower-order moving average crosses a higher-order moving average from top to bottom.
This is believed to symbolize that bearish trends are gaining strength and a medium-term downtrend is forming.
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In our case, we are talking about the canonical 23- and 50-day bands. At the moment, the curves are only on the verge of crossing, and everything can still turn around. However, if the "death cross" does form, it will be important to consider the potential consequences it will have on the SHIB price.
Thus, currently trading at $0.00002156, theShiba Inu token price has a strong block of support in the $0.00001715-$0.00001875 per SHIB zone for the foreseeable future. The meme token already reached the upper boundary of this range during the decline almost a week ago, and then the bulls got into the action by buying back SHIB and pushing quotes up by almost 14.3%.
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A retest of current crypto market conditions is not ruled out, and here the block can act as a space for SHIB price accumulation. Further, theShiba Inu token will either form a local bottom here, or if the sell-off continues and the block is broken down, SHIB price may threaten to fall down to $0.0000145 per token, where the next more or less clear support zone is located.
