- Shiba Inu has a short-term bearish market structure.
- The lack of demand in a key support area was worrying.
A recent AMBCrypto analysis of Shiba Inu [SHIB] noted that an increase of 18% was expected. Since then, bullish momentum has waned, but a support zone could hold sellers back.
Bitcoin [BTC] was trading at $63.7k at the time of writing and could sink back into liquidity at $59.4k. This could hurt meme coin prices in the short term.
In the support zone, SHIB’s momentum faltered
Source: SHIB/USDT on TradingView
The encouraging sign for Shiba Inu bulls over the past two weeks was the $0.0000235 region (cyan) reversing to support. However, the RSI stood at 45, showing that bearish momentum had a slight advantage.
Similarly, the OBV was also unable to break the two key levels seen in the last two weeks. It suggested that the buying and selling pressures were balanced and that neither side had a clear advantage.
Therefore, the BTC trend could be the deciding factor for SHIB in the coming week. To the north, the $0.00003 level is the short-term bullish target.
The weakened social sentiment highlighted the bullish struggle
The weighted sentiment behind Shiba Inu was slightly positive. Yet the other metrics have fallen along with the price.
Social dominance has been waning over the past six months, due to reduced social media engagement around SHIB.
Read Shiba Inu’s [SHIB] Price forecast 2024-25
The Open Interest also saw a decline over the past three days as the meme token lost its bullish momentum in the lower time frame.
These metrics will likely go up as prices do, which could be dictated by Bitcoin’s trends.
Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.