Cryptocurrency Shiba Inu experiences a 10% drop in value, with $70 million worth of the coin exiting Coinbase digital wallet, leaving users questioning future moves.
Shiba Inu (SHIB), the popular meme cryptocurrency, has experienced a setback in its price, with a 13% drop over the past 24 hours, trading at $0.00001312 as of current market data[1]. This decline follows a broader altcoin market correction, with the broader crypto market also pulling back during this time[2].
Key technical levels to watch for SHIB include:
Support Levels: - $0.00001004, a historically strong support level tested twice since February - $0.0000128 to $0.0000142, identified as a strategic demand zone for potential accumulation - Critical support around $0.00001328, currently being tested[1][2]
Resistance Levels: - Immediate resistance near $0.00001558, recently rejected and triggering bearish pressure - Upper channel resistance around $0.00001764 - Potential breakout targets at $0.0000190, $0.000024, and $0.000035 if bullish momentum returns and resistance is overcome[1]
The recent drop in SHIB's price was not as severe as Dogecoin's, highlighting some resistance to the downward trend[1]. This resistance may be attributed to the fact that most addresses transferring SHIB during the period did so at a profit break or marginal profit, suggesting a lack of panic selling[3].
A large transfer of SHIB from Coinbase Institutional to an unknown wallet may have contributed to increased selling pressure, as exchange outflows often signal potential sell-offs, reducing available liquidity and impacting price negatively[3]. However, on-chain data suggests that long-term holders are not panic-selling; the "Age Consumed" metric fell dramatically by 99.7%, indicating older SHIB tokens remain unmoved[3].
Traders are closely watching the $0.00001328 support level, which, if broken, could lead to further declines towards $0.00001200[1]. Despite the recent drops, SHIB has posted positive October returns every year since 2021[1].
In the recovery phase, the Spent Output Profit Ratio (SOPR) staying above 1.0 typically shows that holders are not rushing to sell at a loss[3]. The recent upward thrust above breakeven levels suggests that selling pressure is abating[3]. Daily volume during the move reached $522 million[3].
Looking ahead, some traders are looking at the seasonal trend as a potential setup later this year for SHIB[2]. If the market conditions improve, the key support zone between roughly $0.0000100 and $0.0000133 could provide a foundation for a rebound[1][2][3].
[1] CoinMarketCap [2] CryptoRank [3] Santiment [Not applicable for this paragraph]
- Investors continually monitor the cryptocurrency market, keeping track of notable assets like Shiba Inu (SHIB), which trading at $0.00001312 as of current data, has experienced a setback with a 13% drop over the past 24 hours.
- The fluctuation in SHIB's price is part of a broader altcoin market correction, with the broader crypto market also experiencing a pullback during the same time.
- As SHIB trades near critical support around $0.00001328, trading platform users closely watch this level, seeing a potential break beyond this point possibly leading to further declines towards $0.00001200.
