Shiba Inu has disappointed us again as the meme coin failed to break above the crucial 50 EMA resistance level and retreated below it, potentially losing traction and falling towards previous price levels. Based on the current chart, SHIB is in trouble, at least for now.
Shiba Inu has disappointed us again as the meme coin failed to break above the crucial 50 EMA resistance level and retreated below it, potentially losing traction and falling towards previous price levels. Based on the current chart, SHIB is in trouble, at least for now.
Technical analysis shows that SHIB is struggling to maintain its bullish momentum. The price action indicates a failed attempt to break above the 50 EMA, resulting in a pullback that took SHIB below this key resistance level. This setback may lead to a fresh decline, with SHIB potentially heading towards the $0.000024 support level. If this support does not hold, the next target could be around $0.000022, which is another important support area.
On-chain data adds to the concerns. The number of large transactions, defined as those exceeding $100,000, has seen a recent increase, with 378 large transactions recorded in the last 24 hours. This increase in large transactions could be a sign of increasing activity among whales, but it also raises the possibility of significant selling pressure. The total volume of large transactions reached 8.97 trillion SHIB, approaching the seven-day high of 9.6 trillion SHIB.
Arman ShirinyanFurthermore, the network value to transaction (NVT) ratio has fallen by 22.70% in the last 24 hours, suggesting that the market value is declining relative to transaction volume. This decline in the NVT index could imply a weakening of market sentiment, with investors possibly losing confidence in SHIB’s near-term performance.
Shiba Inu’s recent failure to break above the 50 EMA resistance level and subsequent pullback indicate potential problems for the meme coin. Technical analysis points to a possible decline towards key support levels, while on-chain data reveals an increase in large transaction activity and a drop in the NVT index, indicating possible market weakness.
