The cryptocurrency market is currently navigating through a phase of correction, largely influenced by Bitcoin’s (BTC) recent dip below $93,000. This downturn has resulted in a 2.9% decrease in the global crypto market cap, which now stands at $3.35 trillion. Shiba Inu (SHIB), like many other altcoins, has been swept up in this trend, experiencing a 2.3% drop in its daily charts and a 0.9% decline over the past 14 days.
However, despite the recent dip, SHIB has shown impressive resilience. Over the past week, SHIB has risen by 1.7%, soared by 44.49% over the last month, and remarkably increased by 198.4% since late November 2023. These gains highlight the volatile yet promising nature of the cryptocurrency market, especially for meme coins like Shiba Inu.
Why Is The Crypto Market Down?
The current market correction can be attributed to heightened volatility following Bitcoin’s new all-time high of $99,645.39 on November 22, 2024. As BTC approached the significant $100,000 milestone, many market participants likely chose to book profits, triggering a sell-off that reverberated through the entire market.
Omid Malekan, a professor at Columbia Business School, notes, “Bitcoin tends to be more volatile during bull markets than in bear markets.” This inherent volatility in BTC’s price action has a cascading effect on other cryptocurrencies, including Shiba Inu.
Shiba Inu’s Price Forecast for December 1, 2024
Looking ahead, the forecast for Shiba Inu is optimistic. According to CoinCodex, an AI-driven prediction platform, SHIB is expected to experience a significant price spike in the coming days. The platform anticipates that SHIB will trade at $0.00005094 by December 1, 2024. This prediction suggests a substantial rally of approximately 107.07% from its current levels. However, CoinCodex also warns that SHIB’s price may not sustain above $0.000050 for long, predicting a correction back to current levels by mid-December 2024.
Similarly, analysts from Changelly share a bullish outlook for SHIB. They project that the token will rise to $0.0000492 by December 1, 2024, marking a rally of about 100%. Yet, like CoinCodex, Changelly also foresees a subsequent price correction to around current levels by mid-December 2024.
What’s Driving SHIB’s Momentum?
The anticipated price surge for Shiba Inu can be linked to a combination of factors. Firstly, the overall market dynamics following Bitcoin’s price movements play a crucial role. Secondly, the community-driven nature of SHIB and ongoing developments within its ecosystem continue to fuel investor interest. Lastly, speculative trading and market sentiment often significantly impact meme coins, leading to rapid price fluctuations.
Conclusion
As Shiba Inu (SHIB) prepares for a potential rally in the next few days, investors and enthusiasts are keenly watching the market. The predicted price spikes by platforms like CoinCodex and Changelly indicate a positive short-term outlook for SHIB. However, the anticipated corrections highlight the importance of cautious optimism. As always in the world of cryptocurrencies, volatility remains a key characteristic, making thorough research and prudent investment strategies essential for navigating the market.
