Shiba Inu (SHIB) momentarily moved out of its bearish streak that’s been going for the past few weeks on October 25 when the crypto market made a rally to reclaim the $1 trillion market cap turf.
- SHIB increased by 10% between October 25 and the recent price correction
- Over the past 24 hours, Shiba Inu has lost 2%
- For the week, crypto has risen by nearly 8%
In doing so, the Dogecoin spin-off crypto managed to upend weeks of being in a downward trend that’s been very brutal to the 14th ranked cryptocurrency in terms of market capitalization.
SHIB, however, wasn’t able to sustain its upward trajectory as it once again made a step back for the past 24 hours.
According to tracking, at press time CoingeckoShiba Inu trades at $0.00001070 It’s been down by 2% over the last day but is still up by 7.9% for the past week.
Shiba inu price chart shows another price correction
SHIB’s 12-hour chart shows price trend is SwingingSideways, there’s no consolidation in a bullish area.
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Altcoin has seen a 10% increase in value since October 25, but it suffered a sharp correction within the past few hours.
Although its Relative Strength Index, (RSI), was indicating a bullish bias at the time, current prices suggest that it is not.
This minor price crash could cause Shiba Tou to lose its momentum and the crypto may begin to slide again.
It’s also a surprise that Dogecoin’s momentum is no longer helping SHIB right now considering DOGE witnessed a significant price surge just moments after Tesla CEO Elon Musk took over Twitter.
SHIB’s Three Biggest Problems
It was frustrating that Shiba Inu failed repeatedly to gain enough momentum to propel its price higher.
Experts think there are at least three Problems that are standing in the way of SHIB to move even just an inch closer in realizing its developers’ dream to flip Dogecoin.
Its circulating supply remains high-concentrated as over 63% of available SHIB coins are currently held by only 10 wallets. These wallets could have been owned by less than 10 or all 10 persons.
Although Shiba Inu is still limited in its use, it has a significant function as a means of exchanging currency. Altcoin is accepted by only 112 merchants.
The asset’s network development roadmap is also not clear as there is no definite direction for where it is headed.
It’s probably one of the reasons why investors are veering away of the crypto, shifting their focus and resources to assets with well-planned path that ensures ROI and profit.
Featured image from CryptoGlobe, Chart: TradingView.com| Featured image from CryptoGlobe, Chart: TradingView.com Disclaimer: This analysis should be understood as the author’s opinion and not investment advice.