TLDR
- SHIB fell 13% in two days from $0.00001484 to test critical support at $0.00001297
- Major whale withdrew 510.4 billion SHIB tokens worth $6.7 million to cold storage
- Token now testing daily SMA 200 support level around $0.00001298
- Meme coin sector hit hard with $425 million in crypto liquidations across markets
- Technical analysis suggests potential 155% upside if key resistance breaks
Shiba Inu has undergone a sharp correction over the past 48 hours, dropping from its September 13 peak of $0.00001484 to test crucial support levels. The meme coin hit an intraday low of $0.00001297 during Monday’s trading session.
The selloff started Sunday when SHIB closed down 4.2% at $0.00001369. Monday brought additional pressure with a 4.82% decline according to CoinMarketCap data.
Before this pullback, Shiba Inu had posted seven consecutive days of gains starting September 6. The current decline represents a 13% drop from recent highs within just two trading days.
Broader market weakness contributed to SHIB’s decline. Total cryptocurrency liquidations reached $425 million in 24 hours based on CoinGlass data. Meme coins faced particular selling pressure during this period.
Dogecoin dropped 7.91% over 24 hours while PEPE and Bonk each fell nearly 7%. Shibarium’s gas token BONE declined 4.19% following a weekend bridge incident that caused $2.4 million in token losses.
Whale Activity Shows Strong Accumulation
Despite market turbulence, large investors continue accumulating SHIB tokens. Arkham Intelligence data shows wallet 0x2…B0c6 withdrew over 500 billion SHIB from exchanges.
The withdrawal moved 510.4 billion tokens worth approximately $6.7 million into cold storage. This type of activity typically signals long-term investment strategies by institutional players.
The timing proves interesting as it occurs ahead of the planned Dogecoin ETF launch by REX-Osprey in the United States. This development could spark renewed interest across the meme coin sector.
Markets are also anticipating a Federal Reserve interest rate cut this week. A 25 basis point reduction in the Federal Funds Rate typically encourages investment in higher-yield opportunities.
Technical Levels Define Next Move
SHIB currently tests support at the daily SMA 200 near $0.00001298. This technical indicator serves as a key battleground for the token’s direction.
A successful hold above this level could enable recovery toward $0.000013. Sustained buying might push prices to $0.000014 and challenge the recent $0.00001484 high.
Failure to hold support would expose the next level at $0.00001279, which aligns with the daily SMA 50. Further weakness could test support at $0.00001181.
The $0.00001200 zone represents the main support area to monitor for potential bounce activity.
Shiba Inu Price Prediction
Technical analysis indicates SHIB offers 155% upside potential from current levels. The key catalyst would be a breakout above trend line resistance at $0.00001450.
A confirmed break above this resistance could trigger a rally toward $0.00001750. The ultimate target for such a move would be the previous swing high at $0.00003400.
Current price action shows SHIB holding above critical support while whale accumulation suggests institutional confidence remains intact despite recent market volatility.
