Shiba Inu, commonly known as SHIB, is facing a challenging phase as its price continues to struggle in the crypto market. Despite brief pauses in selling pressure, the SHIB price remains firmly in a downtrend. This article explores the reasons behind this scenario and what it means for the future of Shiba Inu.
Current State of Shiba Inu Price
The market dynamics for Shiba Inu appear unfavorable. With SHIB trading below all major moving averages, the 200-day trendline acts more as a distant ceiling than a reachable target. Over the past few months, every attempt by SHIB to climb higher has been thwarted, and this recent move is no exception. The consistent inability to overcome short-term resistance highlights the dominance of sellers in the market.
Understanding the Recent Price Movements
The latest green candle in the SHIB chart is noteworthy, not for buyer enthusiasm, but for the temporary retreat of sellers. Volume analysis shows no significant increase in demand or trading activity, suggesting that the rise is due to a lack of selling rather than a surge in buying interest. This is a textbook case of low-liquidity drift, where prices rise simply because no one is willing to sell at that moment.
Factors Influencing Shiba Inu’s Bearish Trend
One crucial factor is the mismatch between supply and demand. True market reversals occur when demand surpasses supply, which is not the case for SHIB. As prices approach resistance levels, selling pressure resumes, causing lower highs and lower lows even during relief rallies.
Weak Momentum Indicators
Momentum indicators further reinforce the bearish outlook. The Relative Strength Index (RSI) remains flat and weak, indicating a lack of long-term upward momentum. This reflects a market that is unconvinced by SHIB’s prospects, with no urgency to buy or fear of missing out.
The broader implication is that Shiba Inu is far from entering a bull run. For a bullish shift, SHIB needs to achieve higher highs, restored support levels, and increased volume—none of which are currently evident. Instead, SHIB is stuck in a prolonged decline, erasing years of hype-driven optimism. Unless there is a fundamental change, the likelihood remains that SHIB will continue to decline.
Conclusion: What Lies Ahead for Shiba Inu?
In summary, Shiba Inu is not poised for a bullish breakout. The market conditions do not support a significant upward trajectory. A fundamental shift, not mere speculation, is necessary for SHIB to reverse its course. Until then, SHIB remains in a steady downtrend, with little indication of an imminent turnaround.
