The Shiba Inu (SHIB) cryptocurrency has recently faced a sharp decline in price, attributed to changes in the global financial market, prompting investors to closely monitor cryptocurrency data.
Price Dynamics of Shiba Inu
From July 31 to August 1, Shiba Inu (SHIB) lost 6% of its value, decreasing from $0.000013 to $0.000012. This marks the lowest point since July 9, linked to new tariffs announced by former U.S. President Donald Trump, which pressured Bitcoin and bolstered the U.S. dollar.
Wallet Activity and Influence of Large Investors
According to CoinDesk’s Market Analysis Model, the amount of SHIB in centralized exchanges surged to 84.9 trillion units on July 28, potentially indicating that major investors are reallocating their holdings. Additionally, notable accumulation of 4.66 trillion SHIB valued at $63.7 million was observed during the same period. Investor interest remained high as SHIB token burn activities intensified, with the burning of 602 million SHIB indicating a 16,700% spike in burn rate, potentially impacting price movements.
Technical Outlook and Market Expectations
A rejection at the resistance point of $0.000013 led to a high-volume selling process. However, buying interest at the $0.000012 level, amounting to 1.19 trillion SHIB, helped strengthen the support base. Analysts noted that the ‘inverted bullish candlestick’ pattern formed in July offers hope for price trends. However, if SHIB’s price drops below the July low of $0.00001108, the bullish formation may lose its validity.
The dynamics of Shiba Inu and other cryptocurrencies remain under pressure from global economic factors. The future price of the token depends on the analysis of technical indicators and overall market sentiment.
