Despite the continuous price consolidation of Shiba Inu (SHIB), the second-largest meme cryptocurrency by market capitalization has drawn significant attention from major cryptocurrency players, according to a report by blockchain analytics firm IntoTheBlock. Today, December 18, 2024, IntoTheBlock revealed that SHIB's trading volume surged by 238.58% in the past 24 hours.
Bearish Outlook for Shiba Inu (SHIB)
This notable volume comes as SHIB begins to face selling pressure and forms a bearish price action pattern near the resistance level. However, the bearish outlook for this meme coin emerges during a phase when major cryptocurrencies like Bitcoin (BTC) and XRP are witnessing significant price surges.
SHIB Technical Analysis and Upcoming Levels
According to CoinPedia's technical analysis, SHIB has formed a bearish inverted cup and handle pattern on the daily timeframe and is currently on the verge of collapse. However, this is the resistance level where the meme coin has formed this price pattern.
Based on historical price momentum, if SHIB breaks the bearish pattern and closes the daily candle below $0.0000258, there is a very high likelihood that the price will drop 20% to $0.0000206 in the coming days.
However, it has been over a month since SHIB experienced any significant price increase or decrease; it seems that this stock's price is in a continuous consolidation process. But recent price movements indicate potential bearish momentum, selling pressure, and prices are expected to drop in the coming days.
On a positive note, SHIB's Relative Strength Index (RSI) is currently at 55, indicating that it is still below the overbought region. This technical indicator suggests that the asset has enough room to surge in the coming days.
Current Price Momentum
Currently, SHIB is trading at nearly $0.000026 and has decreased by 2.65% in the past 24 hours. During the same period, its trading volume has dropped by 17%, indicating less participation from traders and investors amid a bearish outlook.
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