Shiba Inu (SHIB) has, however, been on a downward trend over the last 24 hours; the token’s price has fallen from around $0.00001399 to $0.00001131.
Being up by 226.54%, an increased trade volume suggests that the sell-off was large and added downward pressure on SHIB’s price. In addition, the market cap of SHIB has fallen by 19.54% which demonstrates the overall decline in token market valuation.
SHIB Bearish Patterns and Technical Indicators
A bearish pattern identified on Shiba Inu’s 4-hour chart suggests further price drops may develop after observing a death cross where the 50-day moving average surpassed the 200-day moving average, strengthening bears’ confidence. Traders often consider this technical indicator an indication that prices will continue to move downward.
Since July 28, SHIB has been under pressure, losing value for eight consecutive days, which amounts to its longest intraday losing streak to date.
Shiba Inu recently plunged below key support levels, particularly at $0.00001269. Other major support lies between $0.000008 and $0.000013, within which approximately 345,340 addresses bought about 133.56 trillion SHIB tokens. If this support holds, failure for SHIB would lead it further into loss territory.
Impact of Broader Market Trends
Recently, Shiba Inu’s price movements have been part of a wider cryptocurrency market slump The cryptocurrency global market capitalization has declined by16.59% to reach $ 1.84 trillion mainly influenced by macroeconomic factors and changes in investors’ sentiments Consequently, this has put extra strain on cryptocurrencies like Shiba Inu among others
Shiba Inu is not the only one to record massive losses among crypto assets; Bitcoin and Ethereum are some of the major digital currencies that have also plummeted in value, suggesting bearish market conditions. More so, cryptocurrencies, including SHIB, have registered negative changes in market capitalizations as more selling pressure develops.
Prospects and Market Sentiment
Despite the bearish indicators, SHIB’s price trajectory can still change. Good news from the Shiba Inu ecosystem team or a wider shift in market sentiment might bring about a reversal. SHIB’s current worth is $0.00001136, which means it has declined by 19.69% for 24 hours and 33.92% within 7 days.
If bears take a pause ahead, the potential exists for a relief rally. To signal a bullish comeback, there must be a decisive breakout above daily moving averages at $0.000017 and $0.0000202.However, this will depend on various market circumstances and investor sentiment at large.
Based on data from Coinglass, open interest for SHIB futures has fallen continuously since July 19th by -51% in the past sixteen days.The decrease in activity and interest within this market is generally perceived as being bearish., This suggests that positions taken by bearish traders have become more common resulting into an increased bias towards their sentiments.
On top of this decreasing futures open interest, high positive funding rates across several cryptocurrency exchanges for SHIB suggest continuous need for long positions amongFrom the chart above, according to Coinglass data, since July 19th, SHIB’s futures open interest has constantly started decreasing over the last 16 days, up to 51% at its peak. This market action where the interests are decreasing is mostly taken as a bearish signal.
According to the current balance of open LONGS and SHORTS leverage position, this indicates that these bears become pretty confident in pushing momentum even farther in their direction. Furthermore, as the futures open interest levels decline, SHIB still maintains mostly positive funding rates across different cryptocurrency exchanges. This suggests a continued appetite for long positions from futures traders.
