Shiba Inu (SHIB), despite being one of the most recognizable names in the memecoin world, is going through a tough period with the decline in the cryptocurrency market. SHIB has recently started to give danger signals by falling 2.43 percent to $0.00002568. However, despite the ongoing selling pressure, SHIB’s exponential moving average (EMA) is approaching the 50 level. This increases the possibility that the price structure could turn positive. EMA takes the average of the last 50 days of price movements and if this level is exceeded, an uptrend may begin.
SHIB’s decline comes after a particularly strong rally in November. At that time, the token climbed to $0.000033, but this momentum has faded over time. The price is currently trading at around $0.00002512, approaching the 50 EMA level. The 50 EMA is generally considered a support level in technical analysis. If SHIB manages to break above this level, the price is likely to move upwards. However, if it falls below the 50 EMA, there is a possibility that selling pressure will increase and the price could be pulled lower.
Also, the decrease in trading volume is also noticeable. This shows that buyers and sellers are not as interested in SHIB as before. The decrease in investor interest may put pressure on the price.
Another factor that could affect SHIB’s future price action is the general performance in the memecoin market. The memecoin craze in October and November contributed to the rise in SHIB’s price. However, the memecoin trend weakened afterwards, and as a result, many memecoins began to sell off. If there is renewed investment interest in the memecoin market, SHIB could also see a similar rise. Therefore, it seems that SHIB’s course will largely depend on the general movement in the memecoin market.