Shiba Inu Price Prediction: What to Expect as SHIB hits 35% Losses in August 2024

Shiba Inu Price Analysis

Shiba Inu price remained steady around the $0.000013 mark on Thursday, August 15, reflecting a 35% decline in the first half of August 2024. On-chain data indicates a decline in demand for SHIB, despite Grayscale’s new cryptocurrency trusts and dovish CPI data.

SHIB Price Declined by 35% in August 2024

After a shaky start to August, SHIB hit a three-month low on August 5. While the broader crypto market recovered in the second week of August, driven by Solana ETFs approval in Brazil and Grayscale’s new crypto asset offerings to U.S. clients, SHIB failed to sustain its momentum.

Between August 5 and August 9, SHIB experienced a brief uptrend. However, recent trends suggest this rally was a mere fake-out. As the chart above shows, Shiba Inu’s price has now registered losses for the last three trading days. The monthly losses currently stand at 35% as of August 15.

Despite dovish U.S. CPI data releases, the crypto markets have struggled. Investors initially focused their attention on stock markets, leading to a stumble in crypto prices since the CPI data release on Wednesday. This shift sparked concerns of a sharp correction, with SHIB’s price falling further on August 14. The price dropped by 3.37% to $0.000013155, with the market still on edge.

The continued decline in whale demand for SHIB has exacerbated the downtrend, with the price now poised to move lower.

Network Traction Remains in Decline

This bearish trend in network activity could further exacerbate SHIB’s downtrend. The daily transactions count, as depicted in the chart above, shows a significant drop from 10,573 transactions on August 5 to 5,523 transactions on August 14.

This represents a 47.75% decline, signaling reduced interest among large holders.

The decrease in network demand has limited SHIB’s rebound traction in recent days. If this trend continues, SHIB could face further declines in the coming days.

SHIB Price Forecast: Bears Eyeing $0.000010 Reversal

With the current downtrend, SHIB’s price could be headed towards a reversal to the $0.000010 level. The chart indicates that SHIB is currently trading below the 20-day Keltner Channel, suggesting increased bearish momentum.

The Relative Strength Index (RSI) is at 35.27, nearing oversold territory. However, without significant buying pressure, SHIB may continue its decline. The key resistance level to watch is $0.000014480, while the crucial support level lies at $0.000012491.

If SHIB fails to hold above the $0.000012491 support level, the bears could push the price towards $0.000010, a significant psychological level. On the other hand, a break above the $0.000014480 resistance could invalidate the bearish outlook and signal a potential recovery.