Shiba Inu remains under pressure as a consistent pattern of lower highs continues to dictate its short-term price action. The token recently bounced above the $0.000006 level but failed to sustain momentum. Analysts warn that SHIB’s structure remains bearish, with further downside likely unless key resistance levels are reclaimed. Broader financial market declines have added to selling pressure, limiting the cryptocurrency’s recovery potential.
SHIB Descending Channel Restrains Price Action
Veteran trader GainMuse highlighted that Shiba Inu is trading inside a descending channel, reinforcing the bearish trend. “The repeated formation of lower highs reflects the market’s inability to sustain upside momentum,” the analyst said. SHIB recently rallied from $0.0000055 to around $0.0000064, but the rebound stalled at local resistance. GainMuse warned that if momentum fades, SHIB could drop toward the lower boundary of the channel, with immediate support near $0.0000057.
Resistance remains critical at $0.0000062. GainMuse noted that as long as SHIB trades below this level, downside risks persist. A breakdown below support could accelerate losses, potentially pushing the token toward $0.000005, which it touched during last week’s market sell-off. Analysts observe that the current pattern demonstrates persistent selling pressure and a lack of bullish control.
Market Sell-Off Adds Pressure
Shiba Inu’s recent struggles coincided with broader financial market declines. The global markets lost approximately $3.6 trillion in two hours, with the cryptocurrency sector shedding around $70 billion. Precious metals, particularly gold and silver, absorbed much of the losses, yet SHIB also declined to $0.000005939 before rebounding slightly above $0.000006.
Analysts suggest that the bearish trend will remain until SHIB breaks above the descending trendline. Sustained momentum above $0.0000062 could signal a short-term trend shift and reduce downside risk. For now, Shiba Inu continues to face technical pressure, with its price confined by resistance and channel boundaries that define the current market structure.
Source: https://coinpaper.com/14586/shiba-inu-price-prediction-analyst-warns-of-further-decline-below-0-0000062-resistance
