Shiba Inu Loses 14% Despite Rising Market Cap

Shiba Inu (SHIB) has been hard-hit by the recent downturn. It experienced a weekly price correction of 14% and a monthly one of about 24%. Its price slightly increased in May, coinciding with a soaring burn rate.

Its market cap is up almost 4% in the last 24 hours. It is unclear if the SHIB price decline is temporary or due to an upcoming correction for Bitcoin (BTC). Spot Bitcoin ETFs are showing outflows. On the other hand, US inflation data has been largely positive, with the CPI dropping to 3.3% in May.

Reclaiming $0.00002 by Friday?

Watcher.guru cites a CoinCodex price prediction that Shiba Inu could reclaim the $0.00002 mark by Friday, hitting $0.000027. If outflows continue, BTC might consolidate at current levels, and if this happens, Shiba Inu’s price will keep dropping. We will be watching how BTC performs in the next few days.

Shiba Inu passed the support level of 471.54 trillion SHIB on June 17. At the time of writing, the SHIB price was up 4.27% in the last 24 hours to $0.0000189, with a 21% decline in trading volume. The dip could also be attributed to investor profit-taking.

83,670 addresses acquired SHIB worth 471.54 trillion at an average price of $0.000016. 5,270 addresses bought 3.9 trillion SHIB between $0.000019 and $0.00002, indicating minimal support in this range.

Where will SHIB find support?

If SHIB finds support at the current level, it could attract investors and lead to a surge. If not, the price will drop even further with increased selling pressure.

A SHIB price bounce back over $0.00002 is possible, with the potential to regain lost ground and target higher levels. The coming days might be critical for the cryptocurrency. The market is intently monitoring price action to predict the next move.

Daily trading volume peaked at 21 trillion SHIB exchanged on June 11. At present, it’s only 475 million, suggesting the recent movement reflects a regular network function. Price fluctuations have been minor despite the substantial token transfers. This indicates internal network activity, potentially involving wallet reorganization, exchange fund transfers, or adjustments by SHIB whales.