Shiba Inu price may be poised for a major bearish breakout, having formed a highly bearish head-and-shoulders pattern, alongside declining demand in both spot and futures markets. The SHIB token was trading at $0.00001250 on Monday, down by almost 20% from its highest point this month.
Shiba Inu Price Formed a Risky Pattern
Not much is happening with Shiba Inu this year, and technicals point to more downside in the near term. The most bearish catalyst is the fact that it has slowly formed the highly bearish head-and-shoulders pattern.
Its head is at $0.00001760, while the right and shoulders are around $0.000014, and the neckline is at $0.00001027. It has also formed a highly bearish rising wedge pattern.
Shiba Inu price is consolidating at the 50-day moving average, and is slightly below the 200-day MA at $0.00001420.
Therefore, the most likely scenario is where the token crashes and hits the key support level at $0.00001027. A drop below this neckline point will signal further downside, potentially below the support at $0.0000090. A move above the 200-day moving average at $0.000013 will invalidate the bearish outlook.
Shiba Inu’s price collapse is happening at a time when demand has slumped. Its 24-hour volume has dwindled to just $133 million, much lower than Pepe’s $560 million and Pudgy Penguins’ $205 million. Its futures open interest has also plunged.
SHIB price chart | Source: TradingView
READ MORE: Metaplanet Stock Price Has Collapsed as Bitcoin Surges: Buy The Dip?
Bitcoin Penguins Gaining Traction
Shiba Inu’s collapse is a sign that demand for dog-based meme coins is fading. Indeed, Dogecoin, the original player in the sector has lost billions in value in the past few years. The same is true for other similar tokens, such as Floki, Baby Dogecoin, and Bonk.
With dog-based meme coins plunging and cat tokens not doing well either, there are signs that the penguins theme is the new game in town. A good example of this is Pudgy Penguins, which has become one of the best-performing tokens this year, moving from nothing into a $2 billion asset.
Pudgy Penguins, which is based on Ethereum’s blockchain, has gained popularity due to its NFT collection and an upcoming game. Its success means that other penguin-based tokens will likely follow suit.
Bitcoin Penguins is aiming to become the next big penguin token after PENGU. It has gone viral and raised over $3.6 million in the last 30 days.
One reason for this growth is that investors are giving buyers a chance to win one Bitcoin a week. Over 64,700 users have already signed up, with four of them winning a Bitcoin.
BPENGU token has also gained momentum because of its huge potential. The developers are looking forward to raising $10 million this month, and their hope is that its market cap will jump to $2 billion, representing a 19,900% gain. This means that a $100 investment will turn into $20,000 if things go according to plan. Hurry up and buy BPENGU here.
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