- Shib has fallen by 19.91% for the past 24 hours.
- Shiba Inu refused a low four -month low while holders sell panic.
On the last day, when the cryptomarkt crashed, memecoins were not spared. One of these memecoins is Shiba Inu [SHIB] who has experienced a strong dip.
During this period, Shib has fallen to a low four months of $ 0.0000116. Since reaching this level, the Memecoin has become a slight recovery.
At the time of writing, Shiba Inu traded at $ 0.0000141, which marked a decrease in daily cards of 19.91%. The Memecoin has also fallen on weekly and monthly cards with 20.21% and 42.19% respectively.
These recent market conditions raise an essential question: what drives the dip?
Why is Shiba Inu down today?
According to Ambcrypto’s analysis, SHIB has fallen to a lowest point of four months when investors become Beerarish, resulting in panic sales.
As such, most traders started selling their assets in the past day to prevent further losses, so that the loss is minimized, while those who were in profitable positions closed their transactions to maximize profit.
Source: Coinglass
It was noted that this trend of investors who close their positions, especially because Futures Open Interest (OI) is falling to a record low.
According to Coinglass data, the Futures of Shiba Inu OI fell by 41.64% to $ 165.51 million. Such a dip reflects the lack of trust of investors in the market.
Source: Coinglass
Moreover, Shib holders have seen enormous liquidations in the past. Some are powerful from their positions, while others close their positions.
As such, more than $ 7.2 million long positions are liquidated.
Source: TradingView
This sales pressure is proven by a falling relative strength index (RSI) that has fallen from 39 in the last three days to a sold -off territory of 24. Such a decrease means that sellers have total control over the market.
As such, the recent increase in trade volume implies higher sales orders in the market on the last day.
This sales pressure is confirmed by a negative CMF, which has fallen to -0.11.
Source: Coinalyze
Finally, Beerarish sentiments took over the market, because Shib holders Beararish are becoming large stock exchanges.
As such, the financing percentage of Shiba Inu has become negative with the aggregated financing percentage that drops to -0.0207, while the predicted aggregated financing figure was at -0.0202.
This means that bears are expected to continue to dominate the market.
What is the next step for Shib?
In short, Shib experienced enormous panic sales while bears dominated the market. With rising liquidations and sales pressure, a further decrease could quickly be observed.
Realistic or not, here is Shib Market Cap in BTCs conditions
Therefore, if these conditions continue, the memecoin could fall to $ 0.000012. If this level does not hold, it will fall to $ 0.00001088.
However, a recovery could reclaim Shib $ 0.000016 and then try $ 0.00001780.