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Shiba Inu has printed a concerning signal on a short-term timeframe, but its price has shown resilience, mirroring a broader market trend.
Chart analysis highlights a death cross on the Shiba Inu ($SHIB) 1-hour chart after prices slumped briefly on the geopolitical crisis in the Middle East. Nonetheless, the meme coin has bounced 5% in the past 24 hours.
Key Points
- Chart analysis highlights a death cross on the Shiba Inu ($SHIB) 1-hour chart, as prices slumped briefly on the geopolitical crisis in the Middle East.
- The price impact was immediate, with the prominent meme coin dropping from around $0.00000575 to a low of $0.00000565 the same day.
- While the hourly chart has printed a death cross, a higher timeframe has maintained its golden cross.
- In the past 24 hours, $SHIB is up nearly 5%, reclaiming $0.00000606 and showing resilience despite the death cross.
Shiba Inu Death Cross
For context, a death cross forms between the 200-period and 50-period SMAs, with the former crossing over the latter. Usually, this indicates that momentum has flipped bearish, as the longer-period moving average has moved above the short-term one.
On March 22, this crossing formed on the $SHIB 1H chart, with the 200-period MA crossing over the 50-period MA. Notably, the price impact was immediate, with the prominent meme coin dropping from around $0.00000575 to a low of $0.00000565 the same day.
Notably, the death cross appeared after a failed golden cross attempt in the same timeframe. The day before, precisely on March 21, the SMA 50 crossed above the SMA 200, but the price did not react. Fresh uncertainties stemming from the prolonged geopolitical tensions between the US and Iran weighed on $SHIB’s price, triggering a slump and a subsequent death cross.
Higher Timeframe Golden Cross Remains Intact
While the hourly chart has printed a death cross, a higher timeframe has maintained its golden cross. The 4-hour chart recorded a golden crossing on March 19, following a rebound from recent lows around $0.00000562.
Although its price has consolidated since then, $SHIB has maintained this golden cross, with the 50 MA and 200 MA moving further apart. This trend suggests that while lower timeframes may signal bearish momentum, the longer term remains largely bullish.
Moreover, Shiba Inu trades above both SMAs, which is a bullish sign for the meme coin.
Shiba Inu Bounces 5%, Wrecking Bears
The meme coin has also continued to show resilience despite the hourly death cross. Rather than moving sideways as the indicator suggests, it has rallied upwards.
In the past 24 hours, $SHIB is up nearly 5%, reclaiming $0.00000606. The move followed a broader market rebound, spurred by Donald Trump’s recent remark of a 5-day ceasefire on attacks on Iranian power plants. The US president noted that this was due to a positive development in the ongoing negotiations, sending the global market northward, including crypto.
Expectedly, the rebound has wrecked $SHIB bears over the past 24 hours. Of the $119,170 liquidated positions, $94,350 of them were shorts, with only $24,820 being long bets.
For the broader crypto market, Coinglass shows that a staggering $611 million has been wiped out in the last 24 hours. Short positions led with $361 million, while longs accounted for $249 million.
These forceful exits affected 126,476 traders, with the largest being a $16.27 million liquidation on the ETH/USDT pair on Bitget.