- SHIB loses key trendline support as sellers regain market control
- Weak momentum and low volume signal extended downside pressure ahead
- Bulls struggle to reclaim structure as bearish trend regains strength
Shiba Inu has exited its recent recovery phase after losing a crucial technical level that had supported its upward movement for weeks. Following a period where buyers consistently formed higher lows, the asset has now broken below its ascending trendline support, which had acted as a key foundation for the short-term uptrend. Consequently, this breakdown shifts the broader market structure and places renewed pressure on bullish participants attempting to sustain momentum.
According to recent market observations, the drop below this trendline was not a temporary move or a false signal, but a decisive breakdown supported by continued selling activity. Instead of stabilizing, the price moved lower and now trades around the $0.0000058 level, reflecting weakening confidence among traders. Moreover, this decline suggests that buyers failed to defend the level during a critical phase, reinforcing the idea that demand has significantly weakened.
Additionally, the collapse of this structure removes the pattern of higher lows that had defined the recent recovery attempt, which now appears invalid from a technical standpoint. As a result, the burden of proof shifts back to the bulls, who must now demonstrate strength in a market environment lacking supportive signals. Besides that, the broader trend remains under pressure, with key moving averages still positioned above the current price, indicating continued bearish dominance.
Source: Tradingview
Also Read: X Slashes Crypto Aggregator Earnings as Creators Finally Fight Back
Weak Momentum and Volume Signals Point to Continued Downside Pressure
Momentum indicators further highlight the lack of strength in the market, as they do not show clear signs of a reversal forming. The relative strength index remains in a neutral to weak range, limiting expectations for an immediate recovery. Consequently, the absence of bullish divergence reduces the likelihood of a strong rebound in the near term.
Volume behavior also supports this cautious outlook, as there has been no noticeable increase in buying activity following the breakdown. This lack of participation from dip buyers indicates hesitation across the market, which often leads to extended declines rather than quick recoveries.
Also Read: Zcash Skyrockets 59% in a Week as Privacy Coin Frenzy Grips Market
