Whales Depart as Market Strength Fades

Shiba Inu has shown mixed signals in the market during its latest trading sessions. The cryptocurrency started strong with bullish tendencies and notable trading volume, but this was soon overshadowed by significant selling.

Analysis indicates that SHIB is currently stabilizing beneath important resistance levels, with traders paying close attention to the $0.00001450-$0.00001600 area for any indications of a breakout. Indicators from blockchain data raise concerns, highlighted by a drastic 311% drop in whale netflows and a 68% decline in active users since December.

The prevailing market dynamics imply that a period of sideways movement may occur before any clear directional shifts, with a confirmed breakout needing to surpass the descending trendline resistance around $0.00002044.

Only 17% of current holders are in a profit position, while over 80% are at a loss, indicating that any notable price rise could face intense selling pressure as invested individuals attempt to recoup their investments.

Opinions from analysts about SHIB’s immediate future are split, with some spotting possible bullish setups and others warning of diminishing market fundamentals that could signal a downturn.

### Technical Analysis Highlights
– SHIB found significant support at $0.00001417 during the evening trading window, which was followed by steady buying interest.
– There were notable increases in trading volume between 4:00 AM and 6:00 AM, surpassing $700 million, showcasing initial bullish energy.
– In the last hour of trading, a rapid 1.77% decline was observed from the peak, indicating profit-taking behavior among traders.
– A bearish EMA alignment has formed, and the price struggles to approach the 50-day moving average.
– An hourly chart indicates a descending channel, with the formation of lower highs and lower lows, reflecting short-term bearish sentiment.
– A trading volume surge exceeding 110 billion was recorded at the time of a critical breakdown below essential support levels.