Back to the list

Shiba Inu (SHIB) Breakout Fails, Here's What Comes Next

source-logo  u.today 23 May 2024 11:36, UTC

Shiba Inu (SHIB) has suffered a bearish breakdown after it failed to sustain its price growth in the past 24 hours. At the time of writing, Shiba Inu is down by 1.68% in 24 hours to $0.00002553. The SHIB breakdown is all-encompassing, with the 30-day slip hitting 4.44% as the token hovers from a low of $0.00002071 to a high of $0.00002796.

With the breakdown of Shiba Inu, other metrics also contributed to the plunge. The 24-hour trading volume is down by 49.39% to $625,802,833. At its peak this week, the traded volume soared as high as $1 billion in a single day.

With the derailment in the price of Shiba Inu on its way to the $0.00003 mark, the market may be allowed to run its course. This means that Shiba Inu might court the sell-off to the point that the Relative Strength Index (RSI), Bollinger Bands and other key trend change indicators will signal a reversal.

The Shiba Inu whales might also contribute to deciding what comes next. Should whale investors sustain intensity in accumulation, the supply crunch of SHIB becomes more pronounced, fueling any likely surge in price.

The dynamic nature of Shiba Inu has placed it at the forefront of the deflationary trend. With millions of Shiba Inu burnt on a daily basis, the meme coin project is setting itself on track for a rally in the long term. As a token with excessive supply, one unique way Shiba Inu anticipates its valuation can soar in the long term, besides the burning of its tokens, is to drive utility within its ecosystem.

The protocol is doing this with the launch of Shibarium, its Ethereum layer-2 scaling solution. Amid all these fundamentals, SHIB aims to sustain the support level around $0.000025 while aiming to reclaim the $0.00003 level in the midterm.