Shiba Inu (SHIB) Drops 11% in June 2025 Amid Weak Demand

Shiba Inu (SHIB) has experienced a significant decline in value, losing more than 11% in June 2025, with a similar trend continuing into July. The downward trajectory of SHIB's price can be attributed to several factors, including a decrease in network activity and diminishing interest in meme coins. Weak demand has further compounded the issue, leading to a persistent downtrend over the past month. Despite an increase in new investor activity, selling pressure has outweighed fresh buying interest, indicating a lack of market confidence in the token's potential for significant gains.

The current price movement for SHIB shows the asset staying above its $0.00001100 support level, marking a shift following recent declines. However, the token has been testing a key resistance level at $0.0000119 within a bullish falling wedge pattern. This pattern suggests a potential 24% breakout if the resistance is overcome. The Awesome Oscillator (AO) is currently signaling a potential momentum shift, flashing green although it remains within negative territory. This progress is usually seen as a sign of weaker bearish pressure. Further upward pressure would see the AO move to positive levels, corresponding with a stronger bullish view of SHIB in the short term.

Traders are positioning themselves for a potential price rally, as indicated by the long/short ratio on OKX, which stands at 2.24. This ratio means there are more than two long positions for every short position, suggesting growing market confidence. Exchange outflows have surpassed inflows over the past seven days, showing that holders are transferring their tokens off exchanges and decreasing the current selling pressure. This pattern reinforces the technical perspective that there is a potential for an upward breakout, as holders are anticipating a price increase and are avoiding selling.

SHIB's recent price action shows a mild increase in value, rising 2.26% over the past 24 hours to reach $0.0000114. This price action is significant as SHIB hits an imminent resistance in a falling wedge chart top, which is traditionally a potential game changer in the market direction. The token has shown a clear double-bottom chart pattern, trading near $0.00001175, which is approximately 15% above its recent lows. This bullish recovery is attributed to the formation of a double-bottom pattern, which is a technical indicator suggesting a potential reversal in the downward trend. The price of SHIB is currently trading around $0.00001165, showing signs of hesitation near local resistance after a mild recovery from last week's lows.

The SHIB burn activity stands as the project's deflationary mechanism that is targeted at reducing the supply of SHIB tokens from circulation, thereby fueling a potential price increase. However, the burn rate has recently dropped to 0%, which could be a contributing factor to the token's current price decline. Analysts remain cautiously bullish, and technical indicators suggest that SHIB may not stay quiet for long. The projected trading range for SHIB is expected to span from $0.00001402 in September, according to some analysts' forecasts. However, it is important to note that these are predictions and not actual data. The crypto trading firm Changelly predicts Shiba's price will soar more than 1,150% to $0.000138 by 2030. On the popular price prediction platform Telegaon, the projected trading range for SHIB is expected to span from $0.00001402 in September. The bullish momentum can be attributed to a growing risk appetite, particularly among institutional investors and companies that are creating or expanding their digital asset treasuries.