Usman Salis
Shiba Inu (SHIB) faces a potential 20% drop as investor confidence wanes, signaling a challenging period for the popular memecoin.
Shiba Inu Whales Losing Interest
Shiba Inu (SHIB) holders, including large investors or "whales," are showing a significant slowdown in accumulation, with purchases totaling only $328 million over the past two months. This diminishing interest from whales reflects a broader loss of confidence in the asset's performance, contributing to its bearish trend.
Not only whales but retail investors are also exhibiting lukewarm sentiment towards Shiba Inu (SHIB). With only 21% of addresses currently in profit, there's a growing inclination among retail investors to sell rather than hold onto the altcoin, potentially exacerbating its downward trajectory.
Price Outlook: Continued Decline
The price of Shiba Inu (SHIB) has been stuck in a downward channel for six weeks, failing to break through its upper boundary in recent attempts. Should this pattern persist, the altcoin is likely to test the bottom of the channel as support, with a potential downside target of $0.00002039. However, a bounce from the $0.00002268 support level could signal a recovery, potentially pushing SHIB towards $0.00002835 if it manages to break above the upper channel boundary.
Given the current market sentiment and technical indicators, Shiba Inu (SHIB) faces the looming possibility of another correction. If investor interest continues to dwindle and selling pressure mounts, the altcoin could see further downside, potentially extending its decline by up to 20%.
Conclusion
The future of Shiba Inu (SHIB) remains uncertain as investor interest wanes and selling pressure mounts. With both whales and retail investors exhibiting cautious sentiment, the memecoin faces a challenging path ahead, with a potential 20% plunge looming on the horizon.
Usman Salis
