Shiba Inu SHIB/USD was trading flat during Tuesday’s 24-hour trading session, left behind by Dogecoin DOGE/USD, which was spiking over 6% higher as it attempted to break up from a double inside bar pattern that Benzinga pointed out on Monday.
The two Shiba Inu-based cryptocurrencies have been trading in uptrends since Nov. 22, but Dogecoin has shown comparative strength, soaring about 40% higher, while Shiba Inu has rebounded a more conservative 11%.
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Like Dogecoin, Shiba Inu is trading in an inside bar pattern on the daily chart, which may indicate consolidation prior to another leg higher — if the general crypto sector cooperates.
An inside bar pattern indicates a period of consolidation and is usually followed by a continuation move in the direction of the trend.
An inside bar pattern has more validity on larger time frames (4-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: During Tuesday’s 24-hour trading session, Shiba Inu was trading in a tight range completely within Monday’s trading range, which has settled the crypto into an inside bar pattern.
Shiba Inu’s inside bar pattern leans bullish because the crypto was trading higher prior to the formation.
See Also: Hut 8 Stops Mining Of Bitcoin Due To Energy Conflict
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