Shiba Inu Trapped in Bearish Momentum Amidst Stagnant Market
Shiba Inu (SHIB) continues to struggle in a persistent downtrend, exhibiting no clear signs of a structural shift towards bullish territory. Despite occasional pauses in selling pressure, the popular meme coin remains firmly entrenched in a "slow bleed," with market dynamics consistently favoring sellers and preventing any significant upward movement.
Persistent Downtrend and Seller Control
SHIB's daily chart paints an uninspiring picture, with the asset trading consistently below all major moving averages, including the distant 200-day trendline, which serves as a ceiling rather than a reachable target. Every recent attempt to climb higher has been decisively rejected, underscoring the sellers' firm grip on the market structure. This inability to overcome even short-term resistance highlights a market where buyers are largely absent, leaving the asset vulnerable to continued depreciation.
Deceptive Price Bounces and Lack of Genuine Demand
Notably, recent minor price increases, often marked by "green candles," do not signify a resurgence of aggressive buyer interest. Instead, these movements are largely attributed to a temporary absence of sellers, leading to a phenomenon known as low-liquidity drift. Crucially, these bounces lack the backing of increased trading volume or signs of accumulation, indicating that demand has not genuinely risen. This distinction is critical: true market reversals occur when supply cannot meet demand, whereas in SHIB's current state, supply is merely resting, ready to re-enter and exert selling pressure as prices approach resistance levels. Consequently, SHIB continues to form a pattern of lower highs and lower lows, even during relief rallies.
Bleak Outlook Without Fundamental Shifts
The bearish sentiment is further reinforced by momentum indicators, such as the Relative Strength Index (RSI), which remains flat and weak, failing to generate any sustainable upward momentum. This suggests a market devoid of conviction, urgency to buy, or fear of missing out (FOMO). For SHIB to enter a bull market, it would require clear higher highs, restored support levels, and significantly growing volume—all elements currently absent. The prevailing outlook suggests a continued decline unless fundamental changes in actual demand materialize, moving beyond mere hype and narrative. The market is clearly not poised for a takeoff.
