- The cryptocurrency market experienced a significant downturn, seeing Bitcoin momentarily dip below $50,000.
- The market capitalization of meme coins decreased by 23%, with prominent cryptocurrencies such as Dogecoin and Shiba Inu facing substantial losses.
- An important detail to consider is Shiba Inu’s RSI falling below 20 and reduced selling pressure, which may indicate a possible rebound.
Explore the latest developments in the crypto world as Bitcoin dips and meme coins take a significant hit, but indicators suggest a potential turn around for Shiba Inu.
Bitcoin’s Downturn and Its Ripple Effect on Market
In the past 24 hours, the cryptocurrency market has faced a major setback, with Bitcoin (BTC) briefly falling under the critical $50,000 mark. Ethereum (ETH) also plummeted, hitting lows of $3,170, as reported by CoinGecko. Such dramatic price movements have triggered a ripple effect across the sector, adversely impacting the entire market, particularly the meme coins.
The Decline in Meme Coins
The meme coin market has been hit hard, with its overall market capitalization plummeting by a staggering 23%, currently hovering around the $33 billion mark. Major meme coins including Dogecoin (DOGE), Shiba Inu (SHIB), and others have suffered double-digit losses, reaching levels not seen in several months. Political-themed tokens have seen even worse performance, with those linked to presidential candidates experiencing notable declines.
SHIB’s Indicators Suggest Potential Rebound
Despite the bleak scenario, certain metrics suggest that Shiba Inu (SHIB) might be on the verge of a resurgence. The Relative Strength Index (RSI) of SHIB, which tracks the speed and changes in price movements, has dropped below 20. An RSI below 30 often signals that an asset is oversold and could prompt a price bounce.
Positive Exchange Netflows
Additionally, Shiba Inu’s exchange netflow data indicates a bullish trend. According to CryptoQuant, the outflows have significantly exceeded inflows in recent days. This shift from centralized exchanges to self-custody is generally perceived as a positive sign, as it reduces the immediate selling pressure on the asset.
Conclusion
In conclusion, while the cryptocurrency market has taken a notable hit recently, with substantial losses across the board, specific indicators for Shiba Inu suggest that an upward trend might be imminent. As the market continues to evolve, staying informed with credible data and trends will be key to navigating the volatile landscape.
