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Your Crypto Focus: 13th November- 19th November

November 12, 2021
by Joseph Jeffriess, Market Analyst

So far this week we have mainly seen a strong week from the top ten. Ethereum, Bitcoin, Solana and Avalanche have all touched new records and Litecoin is having one of its best weeks in months. Moving towards the weekend session we are seeing some fades from sellers but that might be a case of profits takers cashing in.

This week’s focus is back on Shiba Inu. Just last month this coin was all over the headlines as it soared to record after record. The party did end as sellers took control but now we’re watching a breakout of a price pattern and wondering if buyers are set to regain control.

We are looking at the descending triangle pattern shown below on Shiba Inu’s 4H price chart. After buyers rocketed to new all-time highs back in October, we’ve seen a slow grinding decline that set up a base at .00004648. The series of lower highs shaped the top of the pattern creating a descending triangle.

These patterns can be seen as bullish and bearish depending on the current trend and breakout direction. In this case, we have a breakout higher in an uptrend so we will be looking for further prices while the breakout remains valid. Buyers moved out of the pattern yesterday but for now, we are seeing a consolidation set up after the breakout. This could be seen as a small worry but while price holds above the breakout point, we will continue to call it valid.

Two points to watch. First, is resistance seen at .00005700. We want to see this level beaten to continue to show that buyers hold momentum to carry forward with the breakout. Second, if sellers can take price back down to support and or, close below it we would start to question this breakout and start to lean towards a fail. If price can re-hold at support, we will look for new evidence supporting buyer demand.

All times are AEDT.