Shiba Inu Crypto to Incur Zero: Unattractive Price Dip Foreseen
In the crypto world, Shiba Inu (SHIB) has been facing a challenging period. The reduced activity on Shibarium, its layer-2 scaling solution, has seemingly dampened investor enthusiasm.
Recent attempts to retest the 200 EMA for SHIB have not been successful, leading to prolonged downward trends. This was evident in the price's inability to hold above the $0.000015 mark. The unsuccessful breakout has produced a traditional bull trap, potentially increasing selling pressure.
The surge in SHIB's value that was witnessed in early September tested the critical resistance zone around $0.000015, but it did not last long due to strong selling pressure and the general lack of conviction on the market. Worries are mounting among traders that SHIB might drop back to its summer lows, and even more concerning, that it might lose another decimal place if bearish pressure picks up speed.
The author of this analysis, Simon Rieger, is an experienced market analyst with a B.Sc. in Psychology. He has been writing about crypto topics since 2020 and has been a freelance author for Bitcoin2Go since 2023. According to Rieger, the likelihood of a more profound correction for SHIB increases significantly unless it recovers above $0.000014. If SHIB's daily close remains below $0.000012, a decline towards $0.000010 is possible.
Interestingly, altcoins like SHIB often struggle to keep up with the market due to their reliance on speculative inflows. In contrast, Bitcoin, currently stuck in a narrow range, has tested $115,000 without significant follow-through.
This turbulent period for SHIB underscores the inherent volatility in the crypto market, emphasising the importance of careful analysis and strategic investment. As always, it's crucial for investors to conduct their own research and consider their risk tolerance before making any investment decisions.
