Shiba Inu, the popular cryptocurrency, has experienced a significant decline in value over the past 40 days, losing 40% of its worth. Additionally, it has lost 30% of its overall gains in the last 30 days. However, one analyst predicts that the price will rebound and potentially surpass $0.000081, reaching around $0.0001553.
On Friday, June 21, Shiba Inu (SHIB) suffered a major drop in the early trading hours, falling by 4% within just 24 hours to trade at $0.0000179. This decline extended its weekly loss to 16% and the monthly downturn to 30%. This information was reported by Crypto News Flash, which also highlighted that the broader cryptocurrency market had ended its three-day losing streak on June 19, with notable assets like Bitcoin (BTC) and Ethereum (ETH) experiencing a slight recovery. However, two of the largest meme coins by market cap, Shiba Inu (SHIB) and Dogecoin (DOGE), faced significant downside pressure, dropping below critical support levels.
A comparison of the current market situation to the price action on June 1 reveals a clear dominance of bears, with Shiba Inu starting the month with a trading price of $0.000028. After three weeks of intense bearish pressure, Shiba Inu reached its lowest price in about 100 days, hitting $0.000017. This represented a 40% loss within just 20 days.
Experts believe that the ongoing market decline may be due to investors moving their funds out of the meme market. However, traders have been observed accumulating Shiba Inu at its current discounted price, making a continuation of the bearish trend unlikely. Based on our observation, the market has consolidated by 40% over the past 40 days, making it an ideal time to enter a position at the current rate.
Analyzing the price of Shiba Inu using IntoTheBlock’s data, it is noted that bullish traders have placed orders to purchase 5.2 trillion SHIB at an average price of $0.00018, reflecting a market demand of approximately $77 million. It is also observed that most traders are reluctant to exit their positions as the price hovers around its three-month lows. Additionally, the supply of Shiba Inu on exchanges falls short of the market demand, with only 4.5 trillion SHIB sell-orders listed across 20 exchanges, including Binance and Coinbase. This creates an excess demand of 700 billion SHIB, which puts upward pressure on the price.
Analysts predict that Shiba Inu could reach $0.000020 once this scenario unfolds. Analyst Javon Marks supports this prediction, stating that the ongoing correction could pave the way for a significant price surge. He believes that the price could break above the $0.000081 resistance level and reach $0.0001553.
Marks supports his prediction with a chart, highlighting that Shiba Inu has maintained a highly positive territory since its previous breakout. As long as these prices continue to hold, any pullbacks may only strengthen them and contribute to an additional 252% upward run towards the $0.000081 breakout target.
In conclusion, despite the recent decline, analysts are optimistic about the future price position of Shiba Inu, expecting a potential rebound and significant price surge.