Amid growing uncertainty in the cryptocurrency market, Shiba Inu (SHIB) is witnessing a drop in whale activity, although some analysts predict a potential 20% rise.
Market Sentiment Turns Bearish
Currently, the overall sentiment surrounding Shiba Inu remains bearish. Traders are showing little confidence in the token's short-term performance. According to data from Coinglass, the SHIB Long/Short ratio stands at 0.69, well below the neutral level of 1. This suggests that most traders are betting against SHIB, with 59.17% holding short positions.
Decline in Whale Activity
Adding to the negative pressure is a sharp decline in large transaction activity. On-chain analytics from IntoTheBlock show a 50% drop in SHIB transactions between $1 million and $10 million over the last three months. This decline in whale and institutional participation signals weakening confidence and lowers buying pressure.
Potential for Shiba Inu's Recovery
Despite the current bearish trend and reduced whale activity, not all hope is lost. Some market experts still believe SHIB has room to bounce back. If support levels hold and broader market sentiment improves, SHIB could potentially climb up to 20% in the short term.
Shiba Inu is currently under pressure from bearish traders and a drop in whale interest. However, with some analysts still optimistic, the coming days could be crucial in determining whether SHIB finds support — or falls further.
