Shiba Inu Shows Weak Downtrend as Sellers Dominate Market

Shiba Inu (SHIB) has experienced a notable decline over the past week, reflecting a shift in momentum after reaching its recent peak earlier this month. Market indicators show a weakening trend, with sellers maintaining control but lacking the strength to drive a significant downward move. The Relative Strength Index (RSI) and Average Directional Index (ADX) suggest that while bearish sentiment dominates, the trend lacks strong intensity.

The RSI, which measures momentum on a scale from 0 to 100, has moved lower, indicating reduced buying interest and increased selling pressure. Despite this decline, the RSI has not entered the oversold zone, which suggests there is still room for stabilization or recovery if buying activity returns. The indicator remains in a bearish-neutral range, signaling cautious market sentiment rather than an aggressive sell-off.

At the same time, the Average Directional Index (ADX), which measures the strength of a trend, has weakened significantly. A low ADX value indicates that while sellers currently hold the upper hand, the downtrend lacks momentum and could stabilize. The positive directional indicator (D+) has decreased, reflecting reduced buying pressure, while the negative directional indicator (D-) has increased, showing stronger selling activity.

This combination suggests that SHIB’s bearish trend is currently fragile, and a shift in sentiment could quickly reverse its direction. However, if sellers maintain their dominance, the price might drift lower toward key support levels. Conversely, if buying interest resurfaces and pushes SHIB above critical resistance, it could signal a potential recovery and renewed bullish momentum.

In the short term, SHIB’s performance will depend on whether buying momentum can overcome the current selling pressure. The technical indicators hint at a market in transition, with neither buyers nor sellers showing decisive strength. Investors will closely watch key support and resistance levels to gauge the next potential move for Shiba Inu.