Here’s Why Shiba Inu (SHIB) Price Might Experience a 23% Decrease in the Near Future
The Shiba Inu (SHIB) price is currently facing a potential decline, as there has been a significant drop in the average transaction size over the past two weeks. This could indicate a shift in investor sentiment towards Shiba Inu and a potential slowdown in buying activity. Additionally, technical indicators such as an overbought RSI and bearish EMAs suggest that corrections may be on the horizon for SHIB.
Analyzing SHIB’s Average Transaction Size in the past month reveals an interesting trend. During the recent bull run, both the average transaction size and price experienced significant growth, indicating a correlation between the two. However, there has been a notable decrease in the average transaction size recently, which may need to be reconciled with a price correction in the coming days.
Furthermore, the RSI for SHIB is currently in the overbought stage, with a value of 81. An RSI above 70 suggests that the asset may have experienced excessive buying activity and could be overvalued. This often leads to a retracement as the market seeks to balance supply and demand dynamics.
Additionally, the Exponential Moving Average (EMA) lines for SHIB indicate a potential crossover, with short-term EMA lines approaching a position below long-term EMA lines. This suggests a bearish momentum and a potential price decline if the trend persists. The proximity of the EMA lines to the current price line also suggests a state of uncertainty in the market, with a consolidation phase that could break out in either direction depending on market sentiment.
Currently, SHIB’s price is at $0.000026, slightly above the $0.000023 support level. If this support breaks, the next level to watch would be $0.000020. Conversely, if the trend reverses, SHIB may challenge the $0.000034 resistance level and potentially reach $0.000038.
It is important to keep an eye on market trends, sentiment, and crypto dynamics to get a clearer understanding of these scenarios and their potential impact on SHIB’s price movement.