Despite the continued price consolidation of Shiba Inu (SHIB), the second-largest popular cryptocurrency by market capitalization, the meme coin has received significant attention from the cryptocurrency giant, according to a report from on-chain analytics firm IntoTheBlock. Today, December 18, 2024, IntoTheBlock revealed that SHIB’s massive trading volume has surged 238.58% in the last 24 hours.
Shiba Inu (SHIB) bearish outlook
This notable volume comes as SHIB is experiencing selling pressure and a bearish price action pattern is starting to form near the resistance level. However, the bearish outlook for meme coins comes at a time when major cryptocurrencies such as Bitcoin (BTC) and XRP have witnessed notable gains.
SHIB technical analysis and future levels
According to CoinPedia’s technical analysis, SHIB has formed a bearish reversal cup and handle price action pattern on the daily time frame and is currently on the verge of collapse. However, this is the resistance level around which the meme coin formed this price action pattern.
Based on historical price momentum, if SHIB breaks out of its bearish pattern and closes its daily candle below the $0.0000258 level, it is likely to fall 20% to reach the $0.0000206 level in the next few days.
However, it has been over a month since SHIB experienced a significant price increase or decrease. It seems like there is ongoing price integration. However, recent price movements indicate potential downside momentum, selling pressure, and further price declines.
On the positive side, SHIB’s Relative Strength Index (RSI) is currently at 55, which is still below overbought territory. This technical indicator suggests that the asset has ample room to surge in the coming days.
Current price momentum
Currently, SHIB is trading near $0.000026 and has experienced a price drop of 2.65% over the last 24 hours. During the same period, trading volume decreased by 17%, indicating low participation from traders and investors amid the weak outlook.