Shiba Inu has continued to show weak momentum, with the latest capitulation pushing prices to a level last seen nearly two years ago.
The broader market onslaught has not spared Shiba Inu, the second-largest meme coin by market cap. SHIB made another downward push on Tuesday, dropping to a 23-month low of $0.00000837. For perspective, Shiba Inu last visited this price level on January 3, 2024.
In the most recent market slump, the meme coin dropped to an intraday low of $0.00000827 on Tuesday before rebounding to close at $0.00000957.
Remarkably, this does not take into consideration the October 10 flash crash, which showed different lows on several exchanges. On Binance, SHIB dropped to $0.00000678, but the nature of the price collapse and conflicting figures have caused confusion as to its actual extent.
Intense Shiba Inu Price Weakness
Now, while Shiba Inu has rebounded from the latest drop to trade at $0.00000904 at the time of writing, it has shown intense price weakness lately. Data from CoinMarketCap shows the doggy-themed meme coin has retraced by 11% over the past seven days and 28% in the past month.
Investors who bought at the start of the year would have lost more than half of their money—specifically, 57%—as Shiba Inu has underperformed significantly despite Bitcoin’s run to unprecedented prices multiple times this year.
Furthermore, several bullish ecosystem developments were unable to buffer the prevailing bearishness in the asset’s price. The Crypto Basic reported increased burn rates and a drop in the Shiba Inu exchange reserve, both of which should be bullish for SHIB.
The meme coin also saw its first ETF filing after a long period of anticipation. Specifically, $1.7 trillion asset manager T. Rowe Price filed for a Shiba Inu spot ETF late in October, suggesting institutional traction. Yet, SHIB has continued to see lower prices.
How Worse Could It Get for SHIB?
Amid the downtrend, Shiba Inu has now lost all moving average support. After several failed attempts to reclaim the 200-day exponential moving average (EMA), SHIB has lost several key indicators.
It dropped below the 200-day, 50-day, and 20-day MAs with its flash crash on October 10 and has sustained its trend below. Notably, SHIB retested the MA20 at $0.0000099 in late October, but the recent downtrend prevented it from breaking above.
How low can Shiba Inu get? Analysis indicates that the next significant support level lies around $0.000006, an area that historically cushioned price dips during the 2022/2023 bear market. The possible 33% retracement could happen if the 11-month Shiba Inu consolidation extends further.
However, if Shiba Inu sees a relief pump, analysts expect a run to $0.0000115, $0.00001172, and possibly $0.00001220.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
