Shiba Inu (SHIB) Price Prediction: Is the SHIB Dip a Buying Opportunity?

After a sustained rally over the past week, the Shiba Inu price is now at risk of a major bearish shift in the market.

The price of Shiba Inu (SHIB) is at risk of a major bearish shift as bullish sentiment faces a setback.

Shiba Inu Price and Key Metrics See Epic Shift

At the time of writing, the price of SHIB was trading at $0.00001581, down by 4.3% in 24 hours. The token dropped to this price from a high of $0.00001664, a move that saw it encounter a crucial support zone of $0.000015.

This price outlook had key growth metrics, including trading volume and Open Interest, showing a huge decline. According to CoinMarketCap data, the trading volume was $439,066,898.69, a 16.39% decrease.

Despite 14.68 trillion SHIB being committed in the futures market, open interest slipped by more than 3.4%.

This bearish shift in the Shiba Inu price had been anticipated following an earlier analysis that saw a corresponding price drawdown have different complementary performance metrics. At the time, the token displayed a bull flag pattern, with a soaring burn rate.

Is SHIB Price at Risk of Death Cross?

The SHIB/USDT 4H chart shows that a death cross might be on the horizon for the Shiba Inu price. With the Moving Average Cross Indicator showing a convoluted cross at the 9-day and 21-day trends, a potential crossover might signal a trend reversal for the token.

However, despite this outlook, the Relative Strength Index (RSI) indicator shows a neutral set-up, a shift from the SHIB weekly MACD setup that flashed a buy signal earlier this week.

The fact that the broader market is facing a similar selloff trend has generally placed SHIB on a positive trend. According to IntoTheBlock data, the token currently maintains a 0.87 30-day correlation with Bitcoin. This implies a potential mirroring of BTC price trends, a move that has largely been positive since the start of this month.

With this outlook, the dog-themed memecoin may be experiencing another healthy pullback overall.

Shibarium Milestone Triggers Optimism

One of the most watched SHIB ecosystem innovation hubs is Shibarium, the layer-2 scaling solution of the memecoin. The L2 protocol is on track to breach the 11,000,000 blockchain milestone as it records an average of 4 million transactions daily.

As the Shibarium Total Value Locked (TVL) edges closer to the $3 million mark, the Shiba Inu price is likely to benefit from the adoption trend in the long term.