Shiba Inu Price Prediction As SHIB Breaks Down From Key Support Level

Shiba Inu price experienced downward pressure on August 15 following a market-wide slump that resulted in a 3.1% decrease in the total industry market cap. However, this may not be the only factor contributing to the price reversal of the Shiba Inu coin. Berish sentiment among traders and whale investors signals the meme coin may be up for further decline in the coming days.

Whale Outflow Impacts Shiba Inu Price

The SHIB price decreased by 1.5% in the last 24 hours, trading at $0.00001359, as on-chain data from IntoTheBlock revealed that whales might be leaving SHIB. 

Large holder inflow reduced by 32.29% between August 13 and 14, signaling whales may be offloading their tokens. This coincided with a net positive SHIB inflow into exchanges to the tune of 48B SHIB ($657,000), per CryptoQuant.

Shiba Inu open interest (OI) over the last 24 hours increased by 3.75%, meaning more SHIB contracts were opened. 

A side-by-side comparative analysis with the cumulative volume delta (CVD) shows it dropped by 2.2% over the same period. A rising OI accompanied by a declining CVD suggests the opening of Short positions. This scenario often points to bearish sentiment in the market and would explain the bearish sentiment and continued decline of the Shiba Inu price.

Further, A deep analysis of the SHIB Liquidation Map on Coinglass reveals a significant imbalance, with a higher cumulative liquidation of short positions compared to longs. This suggests a bearish sentiment toward Shiba Inu, likely driven by poor network growth and unfavorable general market conditions.

Additionally, the high trading volume around $0.00001358 indicates a key zone of interest for buyers, with demand building around $0.00001327 and supply concentrated near $0.00001387.

SHIB Price Loses Key Support

Technical analysis further supports the bearish sentiment among both retail and whale investors, indicating a potential downside for the Shiba Inu price. The price chart reveals a downward trend, with SHIB breaking below the lower boundary of a rising channel, confirming the downtrend. 

However, the asset is likely to find support around $0.00001350 and $0.00001100, which could serve as potential rebound zones if the decline persists. Additionally, the narrowing Bollinger Bands suggest low volatility, often a precursor to increased downside pressure. 

Both the Relative Strength Index (RSI) and Chaikin Money Flow (CMF) align with this bearish outlook, indicating there may still be some downward momentum, though a reversal could occur if the price dips further.

Shiba Inu price forecast shows that if bulls manage to push the price higher above the top band of the Bollinger Bands indicator, the bearish thesis may be invalidated. SHIB price would seek the next major resistance around $0.00001655.

Should You Buy SHIB Now?

Although Shiba Inu price is currently in a downward trend and has broken out of its ascending channel, futures trading data shows that many whales are waiting to buy SHIB at lower levels. Large whales placed buy orders totaling $1.775 million, around $0.0000099, $0.0000109, and $0.0000119.

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Evans Karanja

Evans Karanja is a content writer and scriptwriter with a focus on crypto, blockchain, and video gaming. He has worked with various startups in the past, helping them create engaging and high-quality content that captures the essence of their brand. Evans is also an avid crypto trader and investor, and he believes that blockchain will revolutionize many industries in the years to come. When he is not writing, you can find him playing video games or chasing waterfalls.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.