Technical Analysis Points to Potential Crash
Chart analysis reveals SHIB has been stuck in a downtrend since reaching highs of around $0.000033 in late 2024. More concerning for investors is the formation of a descending triangle pattern, which often precedes major bearish breakouts.
The 21-day and 50-day moving averages have consistently acted as strong resistance levels throughout 2025. This technical setup has traders worried about a potential breakdown below the critical $0.000010 support area.
If this support fails, analysts suggest SHIB could experience a 50% crash, potentially falling all the way back to 2023 lows around $0.000006. This would represent a catastrophic loss for investors who bought during the higher price levels of late 2024.
The meme coin market as a whole has been experiencing deflation in recent months. The launch of former US President Donald Trump’s official meme coin reportedly pulled substantial liquidity from the space, leaving many investors facing losses.
