Shiba Inu Follows Dogecoin Into Consolidation, Readies For A Move In One Direction

Shiba Inu (CRYPTO: SHIB) was falling over 3% during Thursday’s 24-hour trading session, in tandem with Dogecoin (CRYPTO: DOGE), which was also retracing.

The move lower in the two Shiba Inu-themed cryptos was in sync with the general crypto sector, which saw Bitcoin and Ethereum (CRYPTO: ETH) down over 2%.

Shiba Inu’s lower prices are taking place within a triple inside bar pattern. An inside bar pattern indicates a period of consolidation and is usually followed by a continuation move in the direction of the current trend.

An inside bar pattern has more validity on larger time frames (four-hour chart or larger). The pattern has a minimum of two candlesticks and consists of a mother bar (the first candlestick in the pattern) followed by one or more subsequent candles. The subsequent candle(s) must be completely inside the range of the mother bar, and each is called an "inside bar."

A double, or triple inside bar can be more powerful than a single inside bar. After the break of an inside bar pattern, traders want to watch for high volume for confirmation the pattern was recognized.

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The Shiba Inu Chart: Shiba Inu’s inside bar pattern leans bearish because the crypto has been trending lower, but traders and investors can watch for Shiba Inu to eventually break up or down from Monday’s mother bar to indicate future direction.

• Although Shiba Inu’s trading pattern leans bearish, upward movement in the apex cryptos could cause the pattern to negate, if Shiba Inu decides to follow suit. If Shiba Inu breaks up bullishly from the triple inside bar formation, a new uptrend will confirm, with Wednesday’s low-of-day serving as a higher low.
• Over the last four trading days, Shiba Inu has closed each session above an important support level at $0.00000877. If the crypt closes a 24-hour period under that level, a longer-term downtrend could be on the horizon.
• Shiba Inu has resistance above at $0.00000975 and $0.00001081 and support below at $0.00000877 and $0.00000856.

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