#Meme Coins Plunge; Analyst Predicts a Bottom

The price of Shiba Inu ($SHIB ) dropped over 20% in just one week, falling to $0.000022 and resulting in a 43% loss for investors during this sharp downturn. Alongside SHIB, other leading meme coins like Dogecoin, Pepe, and Bonk have also seen significant price declines.

After steep losses, Shiba Inu is now struggling to stabilize. The coin’s drop to $0.000020 marked one of its most significant dips in recent months, leaving many investors in shock. Despite earlier optimism, Shiba Inu has continued to decline, weighed down by a bearish crypto market and recent Bitcoin price drops.

This downturn serves as a sobering reminder of the crypto market's volatility, particularly for speculative assets like meme coins, which are prone to sudden and unpredictable declines.

According to IntoTheBlock (ITB), 43% of SHIB investors are now at a loss, while 53% remain in profit. ITB’s on-chain metrics indicate bearish trends for Shiba Inu, with negative signals in Net Network Growth, large transaction volumes, and concentration.

Data from CoinMarketCap shows that SHIB lost 12.6% in value within 24 hours and 25% over the past week, adding to a 15% decline from the previous month. Whales have also started liquidating their holdings; blockchain tracker LoonOnChain reported that a whale recently sold 250 billion SHIB for $6.05 million. This same investor had acquired 15.28 trillion SHIB for $3,800 in August 2020, turning it into $109 million at its peak.

Bitfate on X (formerly Twitter) noted that panic selling has pushed meme coins into the "red zone," with Coingecko reporting a 16% drop in the meme coin market value, now standing at $97.4 billion.

Crypto trader Isak attributes this decline to Bitcoin’s recent slump, which has dragged down the broader crypto market. He noted that most meme coins are now 90% below their all-time highs, signaling a potential bear market and the end of the recent bullish trend.