A circular knitting machine for manufacturing terrycloth knitted fabric, comprising: - a needle-holding cylinder having a plurality of longitudinal grooves arranged around a central axis (X-X) of the needle-holding cylinder; - a plurality of needles, each being housed in a respective longitudinal groove; - at least one yarn feed operatively associated to the needles; - a crown arranged around the needle-holding cylinder and having a plurality of radial grooves; - at least one guiding ring operatively associated to the crown, wherein the crown is rotatable with respect to the guiding ring and around the central axis (X-X); - a plurality of knockover sinkers, each housed in one of the radial grooves and radially movable in said radial groove, each knockover sinker having a main body and a pin configured for cooperating with the needles and a butt engaged with a first guide developing around the central axis (X-X); wherein the first guide is configured for moving the knockover sinker radially along the respective radial groove when the crown rotates with respect to the guiding ring and around the central axis (X-X); - a shaped sinker placed beside each of the knockover sinkers, wherein the shaped sinker is movable with respect to the respective knockover sinker and independently from the respective knockover sinker, wherein the shaped sinker has a nose placed above the respective knockover sinker, wherein the nose is configured for making a terry stitch in cooperation with a needle, wherein the shaped sinker has a butt that is engaged with a second guide obtained in the guiding ring and developing around the central axis (X-X), wherein the second guide defines a plurality of trajectories for the shaped sinker, wherein the second guide is configured for moving the shaped sinker radially when the crown rotates with respect to the guiding ring and around the central axis (X-X); - a selector operatively coupled with each of said shaped sinkers, wherein the selector is movable, preferably oscillating, in a radial plane between a rest position and an operating position, wherein in the operating position the selector acts directly or indirectly upon said at least one shaped sinker so as to deviate the butt of the shaped sinker along a trajectory of the second guide; - at least one selecting actuator laterally facing the crown, fixed with respect to the guiding ring, that can be engaged under control with the selectors and is configured for causing the selectors to switch from the rest position to the operating position; the machine being characterized in that the nose of said at least one shaped sinker lays in the same plane as said main body of the respective knockover sinker. - a needle-holding cylinder having a plurality of longitudinal grooves arranged around a central axis (X-X) of the needle-holding cylinder; - a plurality of needles, each being housed in a respective longitudinal groove; - at least one yarn feed operatively associated to the needles; - a crown arranged around the needle-holding cylinder and having a plurality of radial grooves; - at least one guiding ring operatively associated to the crown, wherein the crown is rotatable with respect to the guiding ring and around the central axis (X-X); - a plurality of knockover sinkers, each housed in one of the radial grooves and radially movable in said radial groove, each knockover sinker having a main body and a pin configured for cooperating with the needles and a butt engaged with a first guide developing around the central axis (X-X); wherein the first guide is configured for moving the knockover sinker radially along the respective radial groove when the crown rotates with respect to the guiding ring and around the central axis (X-X); - a shaped sinker placed beside each of the knockover sinkers, wherein the shaped sinker is movable with respect to the respective knockover sinker and independently from the respective knockover sinker, wherein the shaped sinker has a nose placed above the respective knockover sinker, wherein the nose is configured for making a terry stitch in cooperation with a needle, wherein the shaped sinker has a butt that is engaged with a second guide obtained in the guiding ring and developing around the central axis (X-X), wherein the second guide defines a plurality of trajectories for the shaped sinker, wherein the second guide is configured for moving the shaped sinker radially when the crown rotates with respect to the guiding ring and around the central axis (X-X); - a selector operatively coupled with each of said shaped sinkers, wherein the selector is movable, preferably oscillating, in a radial plane between a rest position and an operating position, wherein in the operating position the selector acts directly or indirectly upon said at least one shaped sinker so as to deviate the butt of the shaped sinker along a trajectory of the second guide; - at least one selecting actuator laterally facing the crown, fixed with respect to the guiding ring, that can be engaged under control with the selectors and is configured for causing the selectors to switch from the rest position to the operating position;