Shiba Inu (SHIB) is facing market pressures as it approaches a critical support level, creating uncertainty amid ongoing declines.
The significant decline in whale activity and the large number of current owners incurring losses are weakening the Shiba Inu’s appeal, raising concerns among investors.
“If the price drops below $0.0000204, a new sell-off could begin,” he warns, highlighting SHIB’s delicate situation.
The future of the Shiba Inu remains uncertain due to waning whale interest and market pressures. Current market trends are showing signs of concern about potential declines. Currently trading around $0.0000222, SHIB is struggling to maintain critical support levels, especially the 50 EMA. A drop below this level could open the way for a drop to $0.0000204. This suggests that the asset has reached a critical turning point based on market sentiment and volume.
On-chain metrics provide important data on SHIB’s status. The decline in large trading volumes suggests that interest from institutional investors is waning. Furthermore, profitability indicators show that the majority of SHIB holders are losing money and confidence in the asset’s upside potential is diminishing. This negative sentiment could lead to increased selling pressure. Investors should carefully monitor trading volume and owner sentiment changes.
Despite the bear market, Shiba Inu still has the potential to recover. If SHIB can find a balance around the 200 EMA and find support with speculative buying, there may be a chance for recovery. Technical indicators are showing signs of recovery, especially if the RSI enters the oversold zone. In this scenario, the 50 EMA at $0.0000250 and the psychological barriers at $0.0000300 could be critical resistances for the upward movement.
In order to predict future price movements, it is important for investors to focus on the trading volumes around SHIB and the critical support levels. If the 67 trillion SHIB support level is broken, this could cause panic among holders and accelerate the decline. However, if SHIB manages to attract new buyers at these levels, the recovery process could begin. Monitoring volumes is vital for investors to anticipate market interest.