Shiba Inu (SHIB) made approximately a 40% price gain between June 10 and June 22. But a flurry of bearish events has now allayed fears of another major price correction. Can the bulls hold the 0.0000075 support?
As June 2023 draws to a close, the launch date of the much-anticipated Shibarium Layer-2 solution remains elusive. Furthermore, Elon Musk’s Twitter recently suspended Shiba Inu’s ‘Burn Tracker’ Twitter account. These landmark events have sparked bearish concerns among Shiba Inu investors over the past week.
As Shiba Inu’s daily network growth slows, will the bulls hold firm at the $0.0000075 support?
Shibarium Launch Delays Could Spark Bearish Sentiment
Shiba Inu investors have keenly anticipated the launch of Shibarium. The much-touted layer-2 scaling solution is expected to enable periodic token burns and facilitate reduced gas fees.
However, a noticeable lack of progress updates toward the launch of this network upgrade has raised concerns among investors. Pointedly, SHIB Weighted Sentiment has remained in the negative zone over the past few weeks.
Santiment chart below shows that despite recent price gains, SHIB Weighted Sentiment still sits at -1.
In concise terms, a -1 Weighted Sentiment score means that there are currently more than two negatives for every positive opinion about Shiba Inu. This means the bears firmly control the media narrative surrounding SHIB.
If this trend lingers, it could sway a significant portion of potential SHIB investors to become bearish in the coming days.
Shiba Inu Network is Struggling to Attract New Users
Over the past weekend, the SHIB token has experienced a significant dip in network demand. As seen below, Shiba Inu recorded 8,203 active wallet addresses on June 16. By June 26, that figure has dwindled to 4,257. This represents a 48% drop in active addresses.
The Daily Active Addresses metric evaluates the new-user acquisition rate by tracking the total number of new wallet addresses created on the network. When it declines considerably, as seen above, it signals that the underlying SHIB token could struggle to find new demand.
In summary, the bearish sentiment among investors and the decline in user acquisition could see the SHIB price struggle in the coming weeks.
SHIB Price Prediction: Bears Could Target $0.000006
According to IntoTheBlock’s Break-Even Price distribution data, Shiba Inu will likely make a downswing toward $0.000006.
But currently, the 32,220 investors that bought a total of 11.88 trillion SHIB tokens at the minimum price of $0.000007 will likely offer some support.
If that critical support level folds as expected, then the Shiba Inu price could backtrack toward $0.000006.
Still, the Shiba Inu bulls can overturn this bearish narrative if SHIB breaks above $0.0000085. But as seen above, some of the 589,900 addresses holding 680.590 trillion SHIB tokens at the minimum of $0.000008 could trigger a pullback.
But if the bulls push the resistance aside, the Shiba Inu could head toward 0.000013 for the first time since February 2023.
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.