Shiba Inu has experienced a slight decline over the past day, dropping 1.57% to trade at $0.00000620. This performance stands in contrast to the broader cryptocurrency market, which managed to post slightly positive gains during the same period. The divergence suggests that capital is not currently flowing into higher-risk assets, leaving meme coins like SHIB vulnerable amidst cautious altcoin sentiment. The primary factor weighing on the token is a sector-wide pressure characterized by a defensive stance among investors. This risk-off tilt is clearly evidenced by the CoinMarketCap Altcoin Season Index, which fell 2.78% to a reading of 35. While Bitcoin rose 0.80%, Shiba Inu moved in the opposite direction, indicating that capital is not rotating into speculative tokens that thrive on bullish sentiment. Until the Altcoin Season Index can sustain a rise above 40, renewed interest in the altcoin sector remains unlikely.
Beyond the broader market dynamics, there is no clear secondary driver specific to Shiba Inu explaining this underperformance. Data reveals no significant news events, unusual derivatives activity, or on-chain surges that would typically catalyze price movement. Trading volume remained steady at $107.48 million, confirming a lack of new catalyst-driven interest. Consequently, the current price drift appears to be a continuation of a bearish trend that has seen the asset decline by 20% over the past month. Looking at the near-term market outlook, the path of least resistance remains neutral to slightly bearish until overall sentiment improves. With Bitcoin dominance stable near 58.2% and the market gripped by extreme fear reflected by an index reading of 11, Shiba Inu likely requires a broader altcoin rally to break its downtrend.
Key support sits at $0.00000600, and holding above this level could lead to a test of resistance at $0.00000650. A decisive break and close above this resistance on rising volume would be necessary to suggest that buyer conviction is returning. In summary, the market outlook for SHIB is neutral with bearish pressure, highlighting the token’s high sensitivity to shifts in overall crypto risk appetite. Investors should keep a close watch on whether Bitcoin dominance breaks above 59%, as such a move could extend the capital rotation away from altcoins like Shiba Inu. For now, the asset remains range-bound near current levels unless market sentiment shifts significantly.
Source:: Extreme Fear Persists in Crypto Market as SHIB Extends Monthly Decline