Shiba Inu Price Cracks 78.6% Fibonacci Level: Is a Crash to $0.000010 Ahead?

Shiba Inu drops below $0.00001250, signaling a crucial breakdown of the Fibonacci support level. Could this lead to a crash toward the $0.000010 psychological mark?As the crypto market faces a sudden surge in supply, the market capitalization of the meme coin segment drops to $46.97 billion. Amid the crashing meme coin prices, Dogecoin witnessed a pullback of 3.89%, and Shiba Inu is down by 3.81% over the past 24 hours. With a 7-day drop of 7.12%, Shiba Inu is currently trading at a market price of $0.00001220. Will this correction phase drop the SHIB meme coin price to $0.000010 psychological support? SHIB Price Analysis Warns Steeper Correction Ahead The Shiba Inu price action reveals a bullish failure to sustain dominance above the $0.000015 psychological mark. With a 7-day high at $0.00001566, the meme coin takes a sudden nose dive.

Shiba Inu Price Chart

The correction phase now accounts for a 20% pullback over the past five days. The downfall has breached the 78.60% Fibonacci retracement level at $0.00001232. Currently, the 4-hour price candle reveals a minor recovery of 0.88% as a potential retest of the broken support level. With a higher price rejection, the meme coin will likely retest the previous swing low near $0.00001150. Due to the intense pullback, the 50 and 100 EMA lines have regained negative alignment with the bearish crossover. Furthermore, the pullback prolongs the declining trend in the MACD and signal lines.As the bearish histogram resurfaces, the momentum indicators support the possibility of an extended correction. Hence, the technical indicators maintain a bearish viewpoint on Shiba Inu.Whales Add 1.33 Trillion SHIB in 30 DaysOver the past month, despite the increased volatility in Shiba Inus market price, whale holdings have continued to rise. With a surge of 1.54%, the balance of holdings between 1 trillion and 10 trillion Shiba Inu tokens has increased from 153.78 trillion to 155.11 trillion SHIB tokens.This marks a significant surge of 1.33 trillion SHIB tokens, indicating increased support.

Shiba Inu Whale Holdings

Shiba Inu Futures Witness Positive Flip in Funding RatesAmid the declining Shiba Inu prices, traders' interest in Shiba Inu futures has seen a significant decline. Open interest is down by 5.32% at $120.81 million.

Shiba Inu Derivatives

Additionally, the long-to-short ratio is gradually becoming more bearish, now standing at 0.9139, which reflects an increasing number of bearish positions.However, the recent flip in the open interest-weighted funding rate has reached 0.065%, reflecting a growing willingness among traders to pay the premium and hold long positions. This suggests the market is anticipating a potential bullish reversal.Shiba Inu Price TargetsAs Shiba Inus price breaks below the 78.6% Fibonacci level, the downtrend is likely to test the previous swing low, which is near the $0.00001150 crucial support.Based on the Fibonacci levels, the next bearish extension will likely test the $0.000010 psychological mark at the 1.272 Fibonacci level, indicating a significant downside risk of nearly 15%.On a bullish note, a leverage-driven short-term recovery in Shiba Inu could retest the 61.8% Fibonacci level at $0.000012967.

Text source: The Crypto Basic

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