Shiba Inu Price Decline Raises Concerns for January Forecast
Key Highlights:
- SHIB price faces continued pressure amid market volatility.
- Recent token burns have yet to stabilize the price.
- Technical resistance is expected near the $0.00002600 level.
Shiba Inu (SHIB), a meme-based cryptocurrency, has seen a notable 10% drop over the past week, aligning with a broader crypto market downturn. Bitcoin, for instance, fell below $94,000, contributing to negative sentiment across the market. SHIB’s recent dip to $0.00002, breaking key support levels, has raised concerns about how much further the coin could drop in January.
Market Conditions and Downward Trend
Shiba Inu’s price decline follows bearish trends observed in other major cryptocurrencies like Bitcoin, Ethereum, and Ripple. The global cryptocurrency market cap stands at $3.24 trillion, reflecting a 3.12% drop in 24 hours, while trading volumes have decreased by 10% to $164.38 billion.
Market analysts attribute the dip to anticipated tighter monetary policies from the U.S. Federal Reserve, prompting a pullback from riskier assets, including meme coins like SHIB, Dogecoin, WIF, and Pepecoin. 
Shiba Inu Token Burn Update
In the past 24 hours, 8.7 million SHIB tokens were burned, reducing the circulating supply to 584 billion tokens. Over 410 trillion SHIB tokens have been permanently removed from circulation since the project’s inception. Additionally, 5 billion tokens remain staked as xSHIB, reinforcing the network’s security.
SHIB Price Analysis
- Current Price: $0.0000216 (4% daily drop).
- RSI: 37.67, approaching oversold territory.
- Resistance: Expected at $0.00002600, a key level to watch for bullish confirmation.
If SHIB fails to break above the resistance, the bearish trend could deepen, potentially driving the price down to $0.00002000—a 28% drop from its current position. 
Market Outlook
Shiba Inu’s price movement remains uncertain as it follows broader market trends. If Bitcoin and other major assets continue to decline, SHIB may experience further losses. However, a break above key resistance levels could signal a potential rebound. The coming weeks will be critical in determining SHIB’s trajectory amid heightened market volatility.
