With the global crypto market cap dropping by 2.67% over the last day, establishing below the $920 billion mark, most of the top cryptocurrencies by market cap traded in red on the daily and weekly time frames. In the top 20 cryptocurrencies by market cap, the SHIB price pullback of 7.80% and 9.08% on the respective daily and weekly charts stood out in the market.
SHIB price dropping along with social traction
Shiba Inu price gains are often accompanied by bright social metrics and retail euphoria around new developments taking place in the ecosystem. This time, however, SHIB’s price failed to rally despite the Oct. 6 Shiba Eternity game release by the Shiba Inu community.
While the social euphoria around the game release pushed weighted social sentiment to yearly highs, it couldn’t aid in price growth. In fact, the momentarily gained positive social sentiment was back to the low bounds within a day as social anticipation faded.
From a price perspective, SHIB traded close to the $0.00001000 support level, which acted as a crucial resistance during Q2 and Q3 2022. The Daily RSI headed toward the oversold zone, indicating that sellers dominated the market as trade volumes maintained low levels.
Despite the price drop, Ethereum whales still appear to be bullish on SHIB. Data from WhaleStats shows that the top ETH whales held $133.97 million in SHIB on Oct. 11.
40.59 million SHIB tokens were burned in the past 24 hours.
As supply continues to be wiped off the markets and there remains a relatively healthy demand for SHIB from ETH whales, the SHIB price could see a boost.
However, there were large outflows from the largest non-exchange addresses around Sept. 20, suggesting that some of these whales likely abandoned the SHIB ship as prices fell below key support levels.
While ETH whales were seemingly bullish on SHIB, Shiba Inu whales and HODLers were still skeptical of the price. Notably, address statistics for SHIB showed a 7-Day new address change of -13.43%, while active address change over the same time was -15.76%, indicating a less vibrant ecosystem.
Looking at SHIB’s on-chain metrics and dwindling network growth, the SHIB price could be in for a retest of the lower $0.00000850 mark. However, an invalidation of the bearish bias, along with support from ETH whales stacking SHIB, could lead to short-term gains. In this case, the next resistance for SHIB is found near the $0.00001100 mark.
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