Shiba Inu (SHIB) struggles to exceed $0.00001 post-Jan 23 downturn. On-chain trends show 56% less media interest for SHIB amid Solana’s BONK and Jupiter tokens gaining traction. Parabolic SAR suggests bearish control after failed attempts to breach $0.00001.
As attention turns to Solana’s BONK and the upcoming Jupiter (JUP) airdrop, Shiba Inu (SHIB) faces uncertain price reactions. Reduced focus on SHIB, amid the growing popularity of BONK and anticipation for JUP, could lead to fluctuating market dynamics, potentially impacting SHIB’s price.
Shiba Inu’s Price Decline Amid Media Shift
Shiba Inu faced a 14% price drop, reaching a 50-day low of $0.0000084, triggered by Grayscale’s billion-dollar sell-offs around Jan 23. While the broader crypto market has seen recovery, SHIB’s attempts to reclaim $0.00001 have faltered.
With media attention shifting towards Solana’s BONK memetoken and the upcoming Jupiter (JUP) airdrop, implications for SHIB’s price action loom. Over the past two weeks, BONK and JUP have dominated crypto media headlines, diverting attention from Shiba Inu and hindering its price rebound.
On-chain data reveals a decline in SHIB’s Social Volume metric, measuring mentions across major crypto media channels. The score peaked at 262 on Jan 23 but has since dropped to 114 as of Feb 4, indicating a 56% decrease in media traction. Solana’s BONK and JUP tokens have gained investor attention amidst this shift.
Shiba Inu (SHIB) Social Dominance | Source: Santiment
Price movements in the meme coin sector are heavily influenced by social trends and media narratives. The decline in SHIB’s media traction by 56% partly explains its failure to reclaim the $0.00001 milestone price, despite the broader crypto market’s resurgence in the last two weeks.
Analyzing Potential Impacts on SHIB Price
Based on the on-chain analysis, a lack of sufficient media traction could spell trouble for SHIB’s price, potentially leading to a retracement toward $0.00008 in the coming days. Multiple failed attempts to break the $0.00001 area may contribute to bullish fatigue, increasing the likelihood of a pullback.
Current trends on the Parabolic Stop and Reverse (SAR) indicator align with this bearish sentiment for SHIB price. The SAR dots pointing toward $0.00001 indicate growing bearish momentum, especially amidst declining media traction. This scenario poses a risk of a significant pullback in SHIB price.
To capitalize on this trend, bears must surpass the initial buy-wall at $0.000086, illustrated by the lower Bollinger Band. A decisive breach below this support level could trigger a long-squeeze panic, potentially reversing the price toward $0.000008.
Shiba Inu (SHIB) Price Forecast, Feb 2024 | Source: Santiment
However, positive momentum from the broader crypto market could sway SHIB’s trajectory. In such a scenario, SHIB bulls could counter the bearish prediction, aiming to surpass the $0.00001 resistance level. This pivotal level remains crucial for determining SHIB’s future price movements.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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