In the past 40 days, the value of Shiba Inu has plummeted by 40%, and it has lost 30% of its overall gains in the last 30 days. However, an analyst predicts that there will be a rebound that could potentially drive the price above $0.000081 and then around $0.0001553.
On Friday, June 21, Shiba Inu (SHIB) experienced a significant decline, dropping by 4% within 24 hours to trade at $0.0000179. This decline extended its weekly loss to 16% and its monthly downturn to 30%.
According to a report by Crypto News Flash, the broader market ended its three-day losing streak on June 19, with popular assets like Bitcoin (BTC) and Ethereum (ETH) making a slight recovery. However, the two leading meme coins by market cap, Shiba Inu (SHIB) and Dogecoin (DOGE), suffered a substantial downside below critical support levels.
Comparing the current market situation to the price action on June 1, it is evident that bears have dominated the market. Shiba Inu started the month with a trading price of $0.000028, but after three weeks of intense bearish pressure, it hit its lowest price in about 100 days at $0.000017. This represents a 40% loss within just 20 days.
Analysts attribute the ongoing market decline to investors shifting their funds out of the meme market. However, traders have been observed accumulating the asset at its current discounted price, making the continuation of the bearish trend unlikely. Our observation suggests that the market has consolidated by 40% in the last 40 days, making it an ideal time to open a position at the current rate.
Looking at IntoTheBlock’s data on the price of Shiba Inu, it is revealed that bulls have placed orders to purchase 5.2 trillion SHIB at an average price of $0.00018, which amounts to approximately $77 million based on market demand. Additionally, most traders are unwilling to sell their positions as the price hovers around its three-month lows. The supply of Shiba Inu on exchanges falls short of market demand, with only 4.5 trillion SHIB sell orders listed across 20 exchanges, including Binance and Coinbase. This creates an excess demand for 700 billion SHIB, which puts upward pressure on the price.
Analysts predict that if this scenario plays out, Shiba Inu could reach $0.000020. Analyst Javon Marks supports this prediction, explaining that the ongoing correction could pave the way for a significant price surge. He believes that the price could break above the $0.000081 resistance level and reach $0.0001553.
Supporting his prediction with a chart, the analyst points out that Shiba Inu has maintained its highly positive territory since its earlier breakout. As long as these prices continue to hold, any pullbacks may only strengthen them and contribute to an additional 252% uphill run towards the $0.000081 breakout target.