- ShibaInu (SHIB) is stuck in a bearish descending channel and could drop 30% to $0.0000084 if it fails to break key resistance at $0.0000128.
- With 62% of top traders holding short positions and trading volume declining, bearish sentiment continues to dominate.
Shiba Inu (SHIB) is facing a potential steep decline as it continues to struggle within a persistent bearish descending channel pattern. Technical indicators and market sentiment suggest that the memecoin could drop by as much as 30% if it fails to break above a critical resistance level.
ShibaInu Trapped in a Bearish Channel
Since December 2024, SHIB has been locked in a descending channel, forming consistent lower highs and lower lows — a textbook sign of a bearish trend. Despite a recent attempt to break out during a broader market recovery, SHIB was once again rejected at the upper boundary, hovering near $0.0000119 at the time of writing.
If Shiba Inu fails to break through this resistance soon, analysts warn it could slump all the way down to $0.0000084, aligning with the lower boundary of the pattern — a move that would represent a 30% decline from current levels.
Trading Volume and Sentiment Reflect Weakness
SHIB’s daily trading volume has dropped 17%, signaling reduced interest from both retail traders and institutional investors. Meanwhile, 61.91% of top traders are currently holding short positions, according to Coinglass, with the long/short ratio sitting at 0.615. This overwhelming bearish sentiment underscores a lack of confidence in any immediate recovery.
Key price levels to watch include $0.0000117 as support and $0.00001245 as resistance. Short positions currently dominate, with $952K bet against ShibaInu compared to $375K in longs — a stark imbalance that could amplify downward pressure.
Is There Any Hope for SHIB?
Despite the bearish landscape, two factors could flip the script: a sudden bullish shift in overall market sentiment or a daily candle close above $0.0000128. Until then, SHIB remains at risk, and traders should brace for possible downside.
With meme coin enthusiasm cooling and market volatility keeping investors on edge, ShibaInu must overcome major hurdles or risk further losses in the days ahead.
