Shiba Inu Falls 18.1% as Whale Selling Pressures Key Support Level

Shiba Inu (SHIB) is showing signs of instability as it faces mounting selling pressure following a recent major selloff. The token has declined by 18.1% in the past 30 days, with the weekly drop reaching an additional 6%, leaving it near the critical support level of $0.00001211 [1]. At current levels, SHIB is trading around $0.0000123, reflecting a 12% decline year-to-date, lagging behind the broader crypto market [1].

The selling pressure is exacerbated by whale activity. Large holders, those holding between 100 million and 1 billion SHIB, have reduced their positions by approximately 300 billion tokens, valued at around $3.7 million, from July 21 to August 21 [1]. This outflow has contributed to the token’s price sliding from $0.000014 to $0.000012 over a two-week span [1]. Analysts suggest that further selling from these major wallets could deepen the bearish trend.

The price action is closely aligned with key accumulation zones. A strong support level appears near $0.00001212, where nearly 19.99 trillion SHIB is concentrated. This area helped cushion the price during a sharp dip on August 19 [1]. On the resistance side, 11.83 billion SHIB is concentrated at $0.00001269. A break above this level could stabilize the price, while a failure to hold the support could lead to a renewed wave of selling toward July lows [1].

Daily charts reinforce this tension. SHIB is currently hovering near $0.00001237, just above the critical support at $0.00001203 [1]. A breach below this level may trigger a cascade of further declines toward $0.00001100 or even $0.00001000 [1]. A strong recovery above $0.00001271, confirmed by a complete daily candle, could signal a potential rebound toward $0.00001400–$0.00001500 [1]. However, the market remains in a delicate balance, with whale selling and retail sentiment playing key roles in determining the token’s next move.

Technical signals from market observers suggest a high-risk, high-reward environment. Some analysts point to a potential 540% rally if SHIB breaks out of its current range, citing an inverse head and shoulders pattern as a bullish indicator [3]. However, such a scenario would require a fresh wave of retail buying to sustain momentum [1]. Whale accumulation is also being watched as a potential catalyst for a shift in market dynamics, though SHIB remains in a consolidation phase with no clear direction [2].

The market capitalization of SHIB has stabilized at around $7.24 billion, but the token’s future remains uncertain [8]. Without a clear catalyst or fundamental improvement, SHIB’s price is likely to remain in a volatile consolidation phase, dependent on large holder actions and retail sentiment [7].

Investors are advised to closely monitor whale activity and key price levels as the market inches toward a potential breakout or breakdown. The coming days will be crucial in determining whether SHIB can stabilize or face another wave of selling. The token’s performance in the near term will depend largely on the balance between accumulation and selling pressure, with no clear signs of sustained bullish momentum emerging at this stage [1].

Source: [1] Shiba Inu at Risk of Range Break (https://cryptonewsland.com/shiba-inu-at-risk-of-range-break/)

[3] Shiba Inu Price Prediction – Analyst Eyes 540% Rally (https://www.facebook.com/manuel.guevarra.369210/posts/shiba-inu-price-prediction-analyst-eyes-540-rally-as-powells-remarks-push-crypto/753293807583830/)

[8] Manuel - The crypto space is lively, but not all tokens are ... (https://www.facebook.com/photo.php?fbid=752616910984853&set=a.130****63246274&type=3)