Shiba Inu is in danger as Shibarium TVL slumps, death cross nears

As a seasoned crypto investor with several years of experience under my belt, I’m deeply concerned about the recent sell-off in Shiba Inu (SHIB) and the broader crypto market. The fact that the crypto fear and greed index has turned red for the first time this year is a clear indication of the widespread fear and uncertainty in the market.

The price of Shiba Inu showed no signs of letting up in its downward trend, with the crypto fear and greed index registering a shift to red for the initial time in 2022.

Shibuna Coin (SHIB) has experienced a three-day downturn, reaching a new low of $0.00001271 – the lowest price since March 1st. This represents a substantial decline of nearly 70% from its peak value this year, leaving it far behind major cryptocurrencies such as Bitcoin and Ethereum in terms of performance.

Crypto fear and greed index has fallen

As a market analyst, I’ve observed that the price of Shiba Inu has taken a hit recently due to growing apprehension within the crypto sector. This fear is reflected in the Crypto Fear and Greed Index, which currently stands at 38 – its lowest point since last November. This represents a significant decline from the peak reading above 90, which indicated extreme greed.

Shiba Inu’s price drop aligns with various challenges within and beyond the crypto sphere. Inside crypto markets, there’s been a surge in Bitcoin holdings on exchanges due to actions taken by the German government, Mt.Gox, and Bitcoin mining companies.

Another disappointing development is that the combined holdings of the eleven Bitcoin spot ETFs have decreased, with their latest records revealing approximately 865,947 Bitcoins worth around $50 billion.

July 4th Update:

— Lookonchain (@lookonchain) July 4, 2024

Additionally, the Federal Reserve is indicators that it may keep interest rates unchanged for a longer period following the robust inflation and employment figures released on Friday. The data showed a surprising gain of 206,000 jobs in June against the anticipated increase of 191,000.

Shiba Inu’s weak fundamentals

As a researcher examining the Shib price trend, I’ve discovered that weak fundamentals have contributed to its recent drop. To put it simply, demand for Shib has dwindled as indicated in the data. More often than not, the trading volume of newer meme coins like Pepe and Dogewhats has surpassed that of Shib.

On Fridays past, the aggregate trading volume for Shiba Inu amounted to half a billion dollars. Meanwhile, Pepe and Dogewhiz amassed volumes of 1.3 billion and 913 million dollars respectively. The volumes of other meme coins such as Floki and Bonk have also surpassed that of SHIB in recent times.

The Shiba Inu’s Shibarium network is currently experiencing a decline. According to DeFi Llama, the total value locked (TVL) in Shibarium has decreased significantly, dropping from a year-to-date peak of $4 million to just $1.35 million.

As a crypto investor, I’ve noticed that the total value locked (TVL) in decentralized applications (dApps) like WoofSwap, ChewySwap, Marswap, and DogSwap on Shibarium has seen a significant drop of over 40% within the past thirty days.

As a crypto investor, I’ve observed that ShibaSwap’s assets have taken a significant hit and are currently valued at around $18.4 million. This represents a drastic decline from their all-time high of almost $2 billion back in 2021.

Shiba Inu price to form death cross

Shiba Inu is in danger as Shibarium TVL slumps, death cross nears

SHIB price chart

As a researcher studying the Shiba Inu token, I’ve noticed some concerning technical indicators that suggest potential price weakness. The chart I’m examining indicates that the SHIB token is on the verge of forming a death cross pattern. This occurs when the 50-day and 200-day Exponential Moving Averages (EMA) intersect, which could increase the likelihood of the token dropping to its lowest price this year—$0.0000085.

Read More

2024-07-05 17:06