Shiba Inu posted its first death cross signal of October on the 4-hour chart, after the 50-period moving average dropped below the 200-period moving average. This technical indicator is often interpreted by traders as a potential sign of continued weakness in the market.
SHIB price action and inflation impact
The latest bearish crossover coincides with a challenging period for Shiba Inu. The token recorded three consecutive days of declines, slipping below the $0.000005 mark. Similar death cross signals have materialized on shorter timeframes such as the hourly, 2-hour, and 3-hour charts since the start of October, highlighting persistent downward pressure.
Shiba Inu’s recent losses followed a broader risk-off move in crypto after consumer price index data came in higher than expected. The Bureau of Labor Statistics reported that consumer prices rose 0.6% for the month on a seasonally adjusted basis, raising the 12-month inflation rate to 3.7%. This number remains above the Federal Reserve’s 2% target.
Reacting to inflationary pressures, the Federal Reserve implemented its first interest rate hike in more than three years last September, raising the benchmark federal funds rate to a range of 3.75% to 4%. Market participants anticipate that the Fed may pause rate increases in October but expect an additional hike in December as policymakers attempt to curb persistent inflation.
Bearish outlook and support levels
At the time of writing, Shiba Inu traded at $0.000005015, down 3.88% over the previous 24 hours and 6.66% over the last week. Consecutive price declines have pushed SHIB below its major moving averages, reinforcing a bearish technical structure in the short term.
Some traders see continued vulnerability if SHIB remains beneath key support areas, with the possibility of sellers driving the price further towards the $0.000004 region. However, analysts caution that technical signals such as a death cross should be weighed alongside other indicators. Factors such as trading volume, overall market sentiment, and buyers’ ability to defend support zones could all impact the token’s near-term direction.
A sustained rebound above $0.000005 and a push toward $0.000006 could reestablish positive momentum, depending on how buyers respond at current levels. Alternatively, the price may consolidate as recent bearish signals interact with earlier bullish momentum observed on the higher timeframe daily chart.
Consumer prices rose 0.6% for the month, with the 12-month inflation rate reaching 3.7%, according to the Bureau of Labor Statistics. This ongoing inflationary trend has placed additional pressure on risk assets such as $SHIB.
Market monitoring and tools
Given the heightened volatility and impact of macroeconomic decisions or sudden altcoin listings, effective real-time tracking becomes crucial. In fast-moving environments where a single Fed announcement or exchange listing can quickly alter market dynamics, traders increasingly turn to consolidated, privacy-first tools like CryptoAppsy. These platforms allow investors to view real-time charts, set smart price alerts, access coin-specific news, and monitor key macro data, all without account signups and across a single unified dashboard.
