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Shiba Inu (SHIB) Drops by 15% in 2 Weeks: These Factors Suggest Extended Correction

TL;DR Shiba Inu’s price has fallen substantially lately, with declining burn rates and large transaction volumes signaling continued bearish momentum. On the other hand, reduced exchange reserves and SHIB’s RSI nearing oversold territory suggest that a potential rebound may be on the horizon. The Bad Days for the Bulls Might Not be Over The past two weeks have been quite successful for most leading cryptocurrencies. Bitcoin (BTC), for instance, saw its price surging by 10%, while Ethereum (ETH) pumped by 4%. However, some assets have not performed so well . The popular meme coin Shiba Inu is among the biggest losers, with its valuation plummeting by over 15% for that period. Currently, it trades at around $0.00002575 (per CoinGecko’s data), representing a 6% decline on a daily scale. SHIB Price, Source: CoinGecko Some factors and on-chain metrics signal that the bears might continue to prevail in the near future . One example is the red wave going through the entire meme coin sector. The market capitalization of the niche is down 4% in the last 24 hours, with well-known assets like Dogecoin (DOGE), Pepe (PEPE), dogwifhat (WIF), Bonk Inu (BONK), Floki Inu (FLOKI), Peanut the Squirrel (PNUT), and many more charting substantial losses. Another element worth mentioning is Shiba Inu’s burning mechanism. Data shows that the burn rate has decreased by almost 70% in the past week, resulting in just 128 million tokens sent to a null address. The program’s ultimate goal is to reduce the tremendous supply of SHIB, making it more scarce and potentially more valuable (assuming demand doesn’t head south). The Shiba Inu team and community have burned more than 410 trillion tokens since adopting the mechanism. However, the circulating supply remains quite significant, equaling approximately 589 trillion SHIB. Last but not least , we will focus on Shiba Inu’s large transaction volume (a momentum indicator showing the number of transactions greater than $100,000). According to IntoTheBlock, the metric is down 4.2%, entering bearish territory. It’s Not All Doom and Gloom On the other hand, there are some indicators that suggest SHIB could soon return to the green track. An example is the Shiba Inu exchange reserve, which, according to CryptoQuant, has recently plummeted to levels last seen in the spring of 2021. The development signals a shift from centralized platforms toward self-custody methods, which could be considered bullish since it reduces the immediate selling pressure. Last but not least , we will touch upon SHIB’s Relative Strength Index (RSI). The technical analysis tool measures the speed and change of price movements, varying from 0 to 100. It helps traders identify oversold or overbought conditions, with readings below 30 suggesting a potential buying opportunity. SHIB’s RSI has been on a downtrend in the last week, currently standing slightly above the bullish zone. The post Shiba Inu (SHIB) Drops by 15% in 2 Weeks: These Factors Suggest Extended Correction appeared first on CryptoPotato . CoinOtag

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Institutional Demand to Drive Bitcoin Price in 2025, Analysts Say

Bitcoin price dips will likely be brief in 2025 due to robust institutional demand, according to Bitfinex analysts. In a Dec. 17 market report, they forecast a best-case scenario where Bitcoin could double its current price by June 2025. Their minimum price estimates “stand at $145,000 by mid-2025, potentially stretching to $200,000 under favorable conditions.” Bitcoin Volatility Expected in Early 2025 “Our view is that any corrections in 2025 will remain mild, thanks to institutional inflows,” the analysts stated. They anticipate Bitcoin volatility in the first quarter of 2025 but believe the broader trend will favor price growth, fueled by inflows into spot Bitcoin exchange-traded funds (ETFs) and rising global adoption. As of now, approximately $36 billion has flowed into U.S.-based spot Bitcoin ETFs since their launch in January, according to Farside Investors. “The BTC ETFs are one of the largest cohorts of Bitcoin holders at over 1.13 million BTC,” the analysts noted. At the time of publication, Bitcoin was trading at $105,360, according to CoinMarketCap. Nic Carter, partner at Castle Island Ventures, told Bloomberg Television on Dec. 17 that Bitcoin’s long-term value could grow nearly ninefold. “Long-term, I’m looking for Bitcoin to match the market cap of gold, which would price Bitcoin at $900,000,” Carter said. Potential for Higher Peaks Bitfinex analysts noted that if Bitcoin mirrors its 2021 cycle, rising 40% above its moving averages, it could reach $339,000. Alternatively, if the extended 2017 cycle repeats with diminishing returns, Bitcoin might peak around $290,000 by early 2026. US Bitcoin Reserve Speculation The incoming Trump administration’s potential creation of a strategic Bitcoin reserve has sparked industry speculation. “If one country implements a Bitcoin strategic reserve, you can kiss goodbye to your 4-year cycles,” crypto analyst Tyler Durden posted on Dec. 17. Pro-crypto Senator Cynthia Lummis has pledged to push legislation for the U.S. government to buy and hold Bitcoin for at least 20 years. CoinOtag