Shiba Inu (SHIB), a popular memecoin on the Ethereum blockchain, faces renewed selling pressure as a series of technical indicators suggest the cryptocurrency could be headed for deeper losses. Despite efforts to recover, SHIB has remained pinned below critical resistance levels, exposing it to additional downside risks.
Increase in selling volume raises concerns
A marked increase in trading volume has accompanied SHIB’s latest price declines. Recent daily trading sessions have shown heightened selling activity, particularly as the token approaches the support area near $0.00000460 to $0.00000480. This pattern suggests a growing number of sellers are dominating market activity, diminishing the impact of recent attempts at price stabilization.
Momentum remains negative unless buyers can offset this persistent selling pressure. A decisive move below $0.00000460 would likely open the way for SHIB to test previous lows, including $0.00000420 and the key psychological level at $0.00000400.
| Support/Resistance Level | Role | Current Status |
|---|---|---|
| $0.00000520 – $0.00000560 | Resistance | Unreclaimed |
| $0.00000460 – $0.00000480 | Support | Under threat |
| $0.00000420 | Support | Next downside target |
| $0.00000400 | Support (Psychological) | Potential lower target |
RSI signals persistent weakness
The Relative Strength Index (RSI), a commonly watched momentum indicator, has slipped toward the lower end of its neutral range on the daily chart. This change reflects a continued loss of bullish momentum, reinforcing concerns about a further decline in SHIB’s price.
Although the token is nearing oversold territory, technical analysts noted that an asset can remain oversold for extended periods during prolonged downtrends. A sustained move below the 30 level on the RSI would confirm intensifying bearish sentiment and could signal an increased likelihood of another downturn.
Mini dictionary: Relative Strength Index (RSI): A technical momentum indicator that measures the speed and change of price movements. RSI values typically range from 0 to 100. Readings below 30 generally indicate an oversold condition, suggesting a potential recovery, while readings above 70 suggest an overbought condition.
During elongated price declines, the RSI can remain at depressed levels while prices continue to slide, so proximity to oversold conditions does not always imply an immediate rebound.
Moving averages remain bearish
SHIB’s short and long term moving averages continue to paint a cautious picture. The token trades below several key averages, and short-term trend lines are sloping downward. This bearish alignment increases the likelihood of additional “bearish crossovers,” where shorter-term moving averages move below longer-term ones—a classic sign of ongoing weakness.
Unless SHIB recaptures at least the $0.00000520 to $0.00000560 area and shifts its moving averages to a more supportive configuration, analysts caution that downward momentum may persist for the near term.
As selling volume grows, momentum fades, and technical indicators remain unfavorable, Shiba Inu appears vulnerable. The next major support zones are at $0.00000460 and $0.00000420, with $0.00000400 seen as a key psychological level. Only a decisive break above overhead resistance and a reversal in the moving averages could meaningfully improve the outlook for SHIB in the short term.
