Like other cryptos on the market, that of Shiba Inu (SHIB) the price saw a double-digit drop in the last 24 hours. This price decline could be linked to the increasing dominance of SHIB bears, as the bulls appear to have taken a back seat.
Under these conditions, it could be difficult for the SHIB price to register a notable increase. Other factors could accelerate the withdrawal.
Shiba Inu Selling Pressure Increases, Network Activity Decreases
Two days ago, the price of SHIB was $0.000024. As of this writing, the value of this meme coin has declined to $0.000019 and is in line with the broader market picture, which has seen Bitcoin (BTC) and other altcoins fall.
According to this analysis, it is likely that the cryptocurrency will continue to decline. One indicator suggesting this bias is the Bulls and Bears indicator. This indicator tracks the activity of addresses that bought (bulls) and sold (sellers) 1% of the total trading volume.
When the number of bulls is higher, the SHIB price may experience significant upward pressure. At the time of writing, the number of SHIB bears have increasedwhich suggests that the value of the meme coin could drop below $0.000019 in the near term.
Beyond that, network activity is another key indicator that points to a potential further drop in Shiba Inu price. Santiment on-chain data reveals a significant drop in active addresses associated with the token.
Active addresses measure the number of unique interacting wallets with a cryptocurrency over a given period. When this metric increases, it suggests increased engagement as more wallets participate in transactions involving cryptocurrency.
Conversely, a drop in active addresses, like that seen with SHIB, indicates reduced interaction with the token, meaning a drop in successful blockchain transactions. This decrease in activity may reflect a decrease in interest or demand, further supporting the probability that the value of SHIB will decrease in the short term.
SHIB Price Prediction: Token Continues to Sink
Last time Attempt to price SHIB the upward trade took place on December 11. At that time, the value of the token was $0.000029. On the 4-hour chart, the Relative Strength Index (ROI) reading is 31.53.
The RSI measures momentum using the magnitude and speed of price changes. When the reading is below 50.00, the momentum is bearish. On the other hand, if the reading of the indicator increases, the momentum is bullish.
Given the current outlook, SHIB bears could continue to lower prices. If this trend continues, the value of the meme coin could drop to $0.000015.
However, if the bulls become dominant or the token becomes oversold, this could change. In this scenario, SHIB price could break above the $0.000026 resistance, and the the rally could hit $0.000033.
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