Important points
- The market capitalization of all cryptocurrencies has declined to 3.87 trillion yen, and the market is under pressure amid macro uncertainty.
- Technical indicators support the downtrend for Shibu Inu (SHIB).
- Although BTC is reeling under macro pressures, we cannot rule out the possibility of a recovery once macro pressures ease.
The cryptocurrency market is currently experiencing a weak week with the prices of major cryptocurrencies falling. The overall market capitalization decreased to $3.87 trillion. The world’s largest virtual currency, Bitcoin (BTC)is declining amid macro uncertainty, while the popular meme coin Shiba Inu (SHIB) is in a sustained downward trend. Nevertheless, the possibility of BTC, the most widely adopted cryptocurrency, recovering once macro pressures ease cannot be ruled out.
Shibu Inu: Technical analysis confirms selling pressure
Shibu Inu, once popular with retail investors, is losing its luster amid mounting macro pressures. Technical analysis shows strong selling pressure and confirms the downtrend. SHIB price has fallen by approximately 15.0% over the past week, with bearish sentiment centered around the popular meme coin continuing throughout the week.
Currently trading at around $0.00001034, the price has fallen over 3% in the past 24 hours. Market capitalization decreased to $6.09 billion. The 14-day Relative Strength Index is 37, indicating a neutral but mildly bearish signal. The MACD histogram is bearish. While market oscillators are generally issuing sell signals, the moving averages indicate the strength of bearish sentiment, confirming a downward trajectory.
SHIB is trading below its 10-day exponential moving average (EMA) and simple moving average (SMA), both of which are adding to selling pressure. The next available Fibonacci support level is approximately 0.00000935. Further decline could push the price down to $0.000009441, or even $0.000007 in the worst case scenario.
How is BTC faring amid macro headwinds?
The world’s largest cryptocurrency hit an all-time high of $126,000 earlier this month, but fell to $104,782.88 amid the market crash following US President Donald Trump’s announcement. 100% tariff to China. Although BTC recovered over the next few days, the flagship token failed to sustain the Fibonacci level of $113,000.
Additionally, BTC is currently hovering around $111,497.78, below both the 10-day Exponential Moving Average (EMA) and Simple Moving Average (SMA). The moving averages are sending a strong bearish signal.
The MACD crossover further intensifies the selling pressure. However, the 14-day relative strength index (RSI) is 47. The RSI suggests a neutral stance with plenty of room before entering oversold territory. The next Fibocci support level for BTC is $109,014. If BTC fails to hold key support levels, further declines await. Confirming the bearish sentiment, the BTC exchange-traded fund witnessed outflows of $104.82 million.
It is worth noting that despite the current decline, BTC has strong fundamentals and institutional support. Therefore, the possibility of a reversal cannot be ruled out if macro pressures ease.
final thoughts
Markets around the world are feeling macro pressures, and the cryptocurrency market is no exception. Amid rising geopolitical tensions between the US and China, both technical analysis and ongoing macro pressures us government shutdownincreasing selling pressure on crypto tokens. The cryptocurrency market continues to be highly volatile, so investors are advised to stay informed on key market indicators.
