Shiba Inu Breaks Support Amid Falling Volume and Market Pressure

Shiba Inu extended its recent losses as it slipped below the closely watched $0.000006 level during the latest trading session. The token traded near $0.0000058 after posting a modest daily decline, reflecting sustained selling pressure across the crypto market.

Moreover, broader financial conditions weighed on digital assets, as rising U.S. Treasury yields and a stronger dollar reduced appetite for risk-driven investments.

Liquidations Intensify Market Weakness
The wider crypto market recorded heavy liquidations, which added to the downward momentum seen across major tokens. Data showed more than $268 million in positions were wiped out within 24 hours, with long traders accounting for a significant share.

Additionally, the sharp imbalance between long and short liquidations highlighted growing caution among market participants as prices moved lower.

Volume Drop Signals Weak Participation
Trading activity around Shiba Inu declined alongside its price movement, pointing to reduced market participation. Daily volume dropped by more than 16 percent, settling below $90 million as both spot and overall trading activity weakened.

Besides, falling volume often reflects hesitation among traders, which can limit price recovery attempts during periods of sustained selling.

Key Technical Level Fails Again
Shiba Inu’s decline accelerated after it moved below its 50-day moving average, a level that had capped previous recovery attempts since early in the year. The token reached an intraday low near $0.00000583, reinforcing bearish sentiment in the short term.

Consequently, traders now view this level as a critical resistance point that must be reclaimed to stabilize price action.

Downside Risks Remain in Focus
Market structure indicates further downside risk if Shiba Inu fails to hold nearby support levels. Analysts note that a break below $0.00000562 could push the token toward the lower end of its range near $0.000005.

However, any sustained move below this zone would depend on broader market conditions and continued selling pressure.

A potential recovery scenario would require Shiba Inu to reclaim both the moving average and the $0.000006 threshold. If buyers regain control, the token could move toward higher resistance levels around $0.0000065 and $0.000007.

Moreover, macroeconomic data releases remain a key factor that could influence short-term sentiment across crypto markets.
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