Memecoins
Can Shiba Inu Price Recover in Meme Coin Crash?
After a 27% drop in meme coins’ 24-hour formation volume and a 3% drop in their overall market cap, today is not a good day for meme coins. Although the general market has been struggling for days, now the impact is visible in meme coins too. Even the largest and most popular ones, such as Dogecoin, Shiba Inu and many others, are in trouble. In the last 24 hours alone, the Shiba Inu Price fell 3.55%, bringing the value to $0.00001696.
Shiba Inu is now 13th at its market capitalization of $9.9 million, but is slowly losing its position in the market. So, why is SHIB price falling and whether it can recover soon or not? Let’s talk about it in this blog.
Reasons why the price of Shiba Inu is decreasing
In addition to blaming market volatility and stiff competition from newly launched meme coins, the price of the Shiba Inu is also affected by the change in investor sentiment. THE indicative of fear and greedwhich sits at 45, a neutral point closer to the bears, perfectly explains the mindset of investors’ sentiments and how cautious they are with their investments.
This led to the overall market decline, affecting altcoins, including meme coins. Also the Binance Exchange announced the delisting of Shiba Inu TUSD pairs, negatively affecting holders. Finally, whale dumping is to blame for today’s decline, as previous charts show less of a recovery.
Spot on Chain, an analytics provider, revealed that Two Whales have deposited $18.12 million in SHIB on Binance, which has been accumulating since November 2023, the market bottom. It is being reframed as a sign of the highest gains the whale could have made, as further declines may be on the way as the market collapses.
Two large whales settled worth $25.95 million $SHIB AND $PEPPER TO #Binance in the last 14 hours. Whales have turned bearish #Ethereum #memecoin?
1. Whale 0x42a deposited all 1.088T $SHIB ($18.12 million) ~14 hours ago.
• Accumulation period: November and December 2023 (market bottom).
•… pic.twitter.com/fspHueZ7Mi— Spot on the chain (@spotonchain) June 25, 2024
What comes next for Shiba Inu: rise or decline?
Shiba Inu is in a strong selling zone, where technical indicators such as ADX(14) and Williams %Rm indicate excessive selling. Furthermore, the MACD (12.26), the relative strength index (RSI)and the moving averages (5, 10, 20, 50) in the selling zone explain the continued decline in SHIB prices.
The SHIB Burn rate is also declining today, indicating a declining price situation for SHIB tokens. Open interest rates took another 8.33% drop, accounting for the money flowing out of this meme coin as user attention is shifting.
However, the 100- and 200-week exponential averages have indicated a key support level at 0.00001743. If realized, a reversal could occur, bringing the Shiba Inu back on track.
Keep reading 3 Altcoins to sell as the market fluctuates