Dog-themed cryptocurrency Shiba Inu (SHIB) has fallen in value from recent highs. Shiba Inu stock prices fell significantly last week amid a more cautious approach to risky assets. After a four-day decline, Shiba Inu prices rebounded from lows of $0.0000185 on Friday, continuing their recovery to highs of $0.000024 on Saturday. The rebound met resistance at this key level and it began to lose momentum.
Most crypto assets are currently trading in the red as Bitcoin fell early in Sunday’s session after approaching the $100,000 level. The fall of Bitcoin led to the fall of other cryptocurrencies, and the Shiba Inu was no exception.
According to CoinGlass, the market decline led to the liquidation of $336 million worth of cryptocurrency positions, with the majority of that amount coming from bullish bets totaling $247 million.
The Federal Reserve has rattled markets in recent days by signaling it will cut interest rates next year. Equity markets took a hit with infiltration into crypto assets, and this spilled over into crypto assets.
With some markets, especially crypto markets, on the verge of overextension, some steam has escaped from assets that have risen significantly this year.
At the time of writing, SHIB’s price is down 7.29% in the last 24 hours to $0.000021, reflecting the ongoing sell-off in the market. This drop brought the token closer to critical support levels that are critical to maintaining market stability.
Online data highlights key support
According to IntoTheBlock’s global In/Out of Money indicator, the next key support level for Shiba Inu is at $0.000019 and $0.00002, where 20.51 trillion SHIB tokens are currently held across 19,330 addresses.
The range remains significant given the significant volume of SHIB held at these price points. SHIB’s concentration at these levels suggests prices could recover if broader market conditions improve.
If this support holds, these levels could provide a buffer against further declines as holders at these prices may resist selling, stabilizing the price. Technically, these levels lie within the range of the Shiba Inu 200 and 50 daily moving averages at $0.0000187 and $0.0000254 respectively, suggesting range trading is possible short of a breakout in either direction.
Over the past 24 hours, the volume of large Shiba Inu transactions has fallen by 81%, suggesting the whales may be staying on the sidelines, waiting for clarity in the markets before making significant moves.
