Shiba Inu Price Nosedives, Key Indicator Say This

• The RSI indicator for SHIB went to oversold levels, signaling buying opportunities.
• SHIB is down 31 in the last 30 days, but has doubled since June 2023.
• Over 410 trillion SHIB tokens have been burned to date.

Shiba Inu (SHIB), the popular meme coin often considered a rival to Dogecoin, has suffered a significant price drop and increased trading volume in the past 24 hours, raising questions about its future trajectory. 

It has fallen 5.79% in the past 24 hours, accompanied by a 47.77% increase in trading volume, now reaching $202 million.

According to CoinMarketCap, Shiba Inu’s market capitalization has also dropped by almost 6%, valuing the digital asset at $10 billion and ranking it as the 12th largest cryptocurrency. Meanwhile, Dogecoin (DOGE) also declined 4.31% in the past 24 hours, currently trading at $0.1192.

The SHIB token is 80.76% below its all-time high of $0.00008845, reached three years ago. Additionally, the cryptocurrency has declined 16.15% in the past seven days and 31.04% in the last 30 days. However, SHIB’s price has risen 113.34% since June 2023, outperforming DOGE’s 74.84% increase.

Data from TradingView shows that the cryptocurrency’s Relative Strength Index (RSI) is below 30, currently at 25.6, indicating SHIB is being oversold. This suggests selling pressure significantly outweighs buying pressure.

Notably, oversold regions often present buying opportunities, while overbought regions are ideal for selling. Meanwhile, the volume of the SHIB/USDT trading pair on Binance has dropped significantly compared to March, when Bitcoin (BTC) reached a new all-time high of $73,000.

While the RSI indicator signals a potential buying opportunity, data from Shibburn confirms that over 3.22 million SHIB tokens were burned in the past 24 hours, with the burn rate decreasing by 84%. To date, a total of 410 trillion tokens have been burned.

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