SHIBA INU (SHIB) experienced a 1.13% decline over the past 24 hours, with the popular meme coin now trading at $0.00000813. This continues a slight downward trajectory for SHIB over the past week amidst broader weakness in the cryptocurrency market.
SHIBA INU currently has a market capitalization of $4.79 billion, positioning it as the 14th largest cryptocurrency by market value. Over the past day, SHIB saw trading volume of $45.68 million.
Analyzing the percentage changes across varying timeframes reveals mixed results for SHIB recently. While SHIB remains up 3.03% over the past month, it has dropped 3.91% and 1.13% over the past 7 days and 24 hours respectively. Zooming out further shows a more considerable 35.13% decline over the past 6 months.
Some factors contributing to SHIB's lackluster price action include profit-taking after the massive 2021 rally, competition from other dog-themed meme coins, and decreased hype and social media chatter. After gaining a staggering 60,000,000% in 2021, some SHIB holders are likely cashing out gains, applying downward pressure.
Additionally, competition from meme coins like Floki Inu and Baby Doge has eroded some interest and capital inflow from SHIB specifically. With new meme coins emerging frequently, investor dollars are spread across a fragmenting ecosystem.
Finally, the meme coin rally in 2021 was heavily reliant on hype and social media buzz. With that excitement decreasing in 2022, meme coins like SHIB have struggled to sustain upward momentum.
Short-Term SHIB Price Prediction Based on Current Data
Given the lackluster technical setup and fading hype, my prediction is that SHIB will likely trade down towards the $0.0000075 support level over the next couple of weeks.
SHIB is facing resistance around $0.0000085 and has struggled to regain momentum after the 2021 frenzy. Barring a new viral social media-driven rally, I expect SHIB will continue bleeding out and testing lower support levels as it fights to hold its key gains.
Potential upside catalysts are limited in the near-term, so traders should be cautious about expecting a quick rebound. My analysis suggests a further consolidation between $0.0000075 and $0.0000085 before SHIB finds a bottom.
How Could SHIB Traders Use RSI to Inform Trading Decisions?
The relative strength index (RSI) is a momentum indicator that traders often use to identify overbought and oversold conditions for an asset. Analyzing SHIB's current RSI readings could provide insights on likely price direction.
Currently, SHIB's RSI sits around 43, right in the middle of its range. This signals weakening upside momentum but not yet oversold conditions that usually mark a bottom. Traders could watch for the RSI to drop below 30 to signal capitulation selling and a likely reversal on the horizon.
On the upside, if SHIB's RSI breaks above 50, that indicates strengthening positive momentum aligned with the price increase. Traders might buy on a break above 50 with a target of 70, which would signify overbought conditions.
Overall, monitoring SHIB's RSI for high and low readings relative to price action could aid traders in identifying ideal entry and exit points. This simple yet powerful momentum indicator provides helpful data for timing trades profitably.
In summary, SHIBA INU faces technical headwinds along with decreased social media buzz. My analysis suggests further downside is likely in the near-term towards the key support level around $0.0000075. Savvy traders can employ tactics like using RSI to make wise trading decisions amidst SHIB's consolidation. However, SHIB remains a highly speculative asset that could quickly reverse based on hype alone.