Shiba Inu (SHIB) in the Red Zone: Will It Find Support or Head for a Steeper Fall?

• Shiba Inu trades at $0.0000062, falling 7%.
• SHIB’s 24-hour trading volume has risen 23%.

The crypto market cap is settled at around $2.4 trillion, followed by a 6.61% plunge. The majority of the assets are in red, going through extreme fear. Meanwhile, the meme coin market kept to the same path and has dropped over 6.8%, sitting at $35 billion. Among the meme tokens, the dog-themed Shiba Inu (SHIB) has slipped by over 7.41% in the past 24 hours. 

The meme coin was trading at a high of around $0.000006775 in the morning hours. Eventually, with the bears pulling the momentum downward, the SHIB price fell and traded at a low of $0.000006206. At press time, it traded at $0.000006265, and its market cap is at $3.67 billion. Additionally, the trading volume has surged by over 23.81% to $197.82 million.

It is worth noting that the Shiba Inu’s burn rate is down by 100.00% in the last 24 hours. Notably, 410.75 trillion tokens were totally burnt from the initial supply. It leaves over 585.42 trillion tokens within the circulating supply. 

While analysing the recent price pattern of SHIB, the potent bears are found in the market. They could pull the price back to the support range at around $0.000006250. A deeper downside correction may trigger the death cross to unfold and drive the price below $0.000006235. 

If the long-lost uptrend is reclaimed by the bulls, Shiba Inu might find the nearest resistance level at $0.000006280. With a sturdy breakout, the bullish pressure would strengthen and could initiate the formation of the golden cross, likely to support the price action to climb above $0.000006295. 

Bears Take the Lead as SHIB Shows Signs of Technical Strain

SHIB’s Moving Average Convergence Divergence (MACD) line and signal line have crossed below the zero line, indicating a bearish mood. Also, the steep move downward confirms that the bearish trend is gaining strength, and it is interpreted as a potential continuation of downward price movement.

SHIB chart (Source: TradingView)

Besides, the Chaikin Money Flow (CMF) indicator, which assesses the money flow, suggests a slight positive flow as the value is at 0.02. As it is close to neutral, the momentum of Shiba Inu is weak, and the trend is not strongly bullish. Also, the buying pressure barely outweighs the selling pressure. 

The daily Relative Strength Index (RSI) is positioned at 30.29 displays that SHIB is approaching the oversold zone. This momentum significantly hints at weak momentum and toward a potential for a short-term relief bounce. Moreover, the Shiba Inu’s Bull Bear Power (BBP) reading rests at -0.00000053, signalling a mild bearish condition. With the weak downward pressure, the market is essentially near equilibrium, and this is taken as a minor negative sentiment.

Top Updated Crypto News

Are the Bulls Losing Control? As Momentum Pauses and Bears Probe, SUI Hits the Brakes After a 7% Slip