TLDR
- Shiba Inu (SHIB) saw an 8% surge in Open Interest in the past 24 hours, indicating increased speculative activity
- SHIB is currently trapped in a descending triangle pattern on both daily and 4-hour charts
- Technical analysis suggests a potential 9-17% price move is incoming based on triangle breakout patterns
- Current price sits around $0.00001436, down 2% over the past week
- Liquidation data shows clusters of sell orders just below $0.000014 support level
Shiba Inu has captured trader attention with an 8% surge in Open Interest over the past 24 hours. This increase signals growing speculative activity around the popular memecoin.
The price action comes as SHIB remains trapped within a descending triangle pattern. This formation has been developing across multiple timeframes over recent weeks.
On the daily chart, SHIB broke out of a lower timeframe channel in the second week of May. However, this bullish move failed to sustain momentum beyond the $0.000017 resistance level.
The resistance at $0.000017 represents a lower high from mid-February. Over the past three weeks, Shiba Inu has declined toward former range highs at $0.000014.
Technical indicators show mixed signals for the memecoin. The 20 and 50-day moving averages indicate bullish momentum, but this strength has weakened considerably.
Triangle Pattern Analysis
The descending triangle pattern has formed as SHIB creates lower highs while testing the same support level repeatedly. This technical formation typically indicates potential for a bearish continuation.
Analyst Ali Martinez noted that the 4-hour chart shows SHIB consolidating within this triangle structure. The pattern suggests a potential 17% move once a breakout occurs.
#ShibaInu $SHIB consolidates within a triangle, awaiting a 17% price move! pic.twitter.com/jdjMzVxtme
— Ali (@ali_charts) May 28, 2025
Triangle patterns in technical analysis often produce moves equal to the height of the formation. The current setup places SHIB near the midway point between the upper and lower trendlines.
A session close below $0.0000142 would flip the market structure bearish. This level represents a critical support zone for the memecoin.
The Chaikin Money Flow (CMF) has dropped to zero, indicating neutral capital flow between buyers and sellers. The On-Balance Volume (OBV) has moved sideways throughout May.
Liquidation Data Reveals Key Levels
Liquidation heatmap data supports the technical analysis findings. A cluster of liquidity sits just under $0.000014, which aligns with former range highs and current support.
This concentration of liquidation levels has built up over the past ten days. The proximity to current market price increases the likelihood of triggering these levels.
A break below current support could trigger a cascade of selling pressure. This scenario could drive SHIB toward mid-range support at $0.0000129.
Such a move would represent a 9.3% drawdown from current price levels. The descending triangle pattern increases the probability of this bearish scenario.
Current market structure remains on the verge of a bearish flip. The combination of technical patterns and liquidation data points to downside risk.
Shiba Inu currently trades around $0.00001436, reflecting a 2% decline over the past seven days.
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