Shiba Inu continues to experience a downward trend. Let's examine what this current situation means for the coin and what analysts are saying about its future.
Current Market Status of Shiba Inu
Shiba Inu, the second-largest meme coin, is facing market challenges. Currently, it trades at around $0.00001239, a significant decline from the local peak of $0.00003086 reached in December 2024.
Factors Leading to Price Decline
Several factors suggest that Shiba Inu may continue to experience a pullback. The number of transactions on the layer-2 scaling solution Shibarium fell to nearly one million on August 24, marking its lowest point since early June, indicating reduced activity in the network. Moreover, the recent inflow into exchanges surpassing outflows hints that investors are shifting toward centralized platforms, increasing selling pressure.
Analyst Forecasts for the Future
Nevertheless, some analysts still anticipate a potential resurgence for the cryptocurrency. One user on X noted that SHIB is still in an accumulation zone, which has historically led to significant rallies. The Relative Strength Index (RSI) also indicates a possible rebound as it approaches levels suggesting oversold conditions.
Despite the current downturn, analysts' opinions are divided. Some call for attention towards potential recoveries, while others predict further struggles for Shiba Inu.
