Key takeaways
- SHIB has dropped to the 19th place in the market after hitting a two-month low a few hours ago.
- The coin could dip lower to the $0.00001030 support level if market conditions persist.
SHIB hits a two-month low
SHIB, the native coin of the Shiba Inu ecosystem, has been underperforming in recent days. The coin has lost 12.6% of its value over the last seven days and has dropped to the 19th place in the cryptocurrency market.
The decline occurred amid broader crypto market losses and U.S. stock market weakness. SHIB recorded a massive sell-off after failing to break the $0.00001230 resistance level, with trading volumes exceeding 1.2 billion tokens.
The sell-off saw SHIB hit a two-month low price of $0.00001148 and could dip further in the short term. According to market analysts, SHIB’s performance can be attributed to global economic factors and trade disputes, contributing to increased volatility in the cryptocurrency market.
SHIB’s decline yesterday happened after President Donald Trump downplayed reports of his administration seeking a truce with Iran and threatened the assassination of Iran’s Supreme Leader, Ayatollah Ali Khamenei. The president also called for Iran’s unconditional surrender in the ongoing war with Israel.
SHIB could test the $0.00001030 support level
The fundamentals are currently bearish and Shiba Inu’s technical indicators back it up. With a Relative Strength Index (RSI) of 39, SHIB is currently in the oversold region and could face further selling pressure if the bearish momentum continues.
The MACD is also in the negative zone, indicating that the bears are currently in control. After failing to hold the $0.00001230 support level, SHIB could test the next support level at $0.00001030 in the coming days. If that happens, it would be the first time SHIB is trading that low since the first week of April.
However, market fundamentals remain in play. The activities in the ongoing Israel-Iran conflict could determine if SHIB and other major cryptocurrencies bounce back soon. If there is a ceasefire between the two countries, SHIB and the broader crypto market could experience a temporary rally.
Furthermore, traders are looking ahead to today’s FOMC meeting. The results could give insights into the Fed’s interest rate policies for the remainder of the year.
