Not surprisingly, Shiba Inu [SHIB] continued its downtrend today. This, after having already declined by 27% over the week. Thanks to the same, the meme coin was down by 91% from its ATH back in November 2021, at press time.
SHIB will need to recover and mark a 900% rally if it intends to reclaim that level.
An unlikely miracle?
With the bears pounding on, SHIB’s chances of recovery anytime soon are looking very bleak. Trading at $0.00000795 at the time of writing, Shiba Inu is at a point where most coins reach their dead-end. Even so, the meme coin is carrying on only because a chunk of its investors still think the crypto is worth it.
However, even they are gradually pulling their support. Those who are moving their holdings around, even if not selling them, are facing losses regardless.
This month alone, transactions saw more than 24 trillion SHIB worth $192 million changing hands. Each of these transactions were below the price point they were bought at.
Shiba Inu transactions in losses | Source: Santiment – AMBCrypto
Recent FOMO-induced investors weren’t alone in this as the network also witnessed similar moves from SHIB holders that have held on to their assets for more than a year.
This can be verified by the consumption of 3,611 trillion days – A consequence of investors moving their supply around.
Shiba Inu LTH selling | Source: Santiment – AMBCrypto
Even so, among those holding SHIB, 73k of them are the ones that need this rally the most. Why? Well, because this cohort of investors bought their holdings when the meme coin was trading at its all-time high price of $0.00007929.
Ergo, obviously, they will not be seeing any profits until Shiba Inu climbs back up by 900% on the charts.
Shiba Inu all time highers | Source: Intotheblock – AMBCrypto
Even if investors support its hike, broader market cues will act as a hurdle for now. According to the price indicators, for instance, SHIB is currently in the oversold zone.
Shiba Inu price action | Source: TradingView – AMBCrypto
Plus, the active downtrend as per the Parabolic SAR is gaining strength. Also, the Average Directional Index (ADX) has been rising above 40.
If the same continues, it won’t be long before SHIB extends the rally needed to reclaim the ATH to more than 1000%.
