Shiba Inu (SHIB) is currently facing significant downward pressure in the market, with its price experiencing a 10.31% decline over the past 24 hours. Starting at $0.00001466, SHIB has dropped to $0.00001314, indicating a bearish trend with lower highs and lower lows. The cryptocurrency is now testing crucial support levels, particularly at $0.00001300, which serves as a psychological barrier. A break below this level could lead to further selling pressure, with the next support levels at $0.00001280 and $0.00001250.
To reverse the current trend, SHIB needs to reclaim resistance levels at $0.00001350 and $0.00001400. Surpassing the previous high of $0.00001466 would confirm a trend reversal and potentially trigger an upward move. However, SHIB must first attract buying interest to challenge these resistance levels successfully.
Market indicators show a rise in trading volume, indicating strong market participation. Despite this, bearish sentiment prevails, as evidenced by the Relative Strength Index (RSI) standing at 32.36, below the oversold threshold of 30. The Moving Average Convergence Divergence (MACD) also shows negative momentum, with the MACD line below the signal line, suggesting further declines if support is not found soon.
In a recent development, the U.S. Securities and Exchange Commission (SEC) clarified its stance on meme coins like Shiba Inu, categorizing them as collectibles rather than securities under federal law. The SEC emphasized that meme coins derive their value from social engagement and market demand, lacking inherent utility and investment principles. These assets do not pass the Howey Test for securities, exempting them from federal securities regulations. However, fraudulent activities related to meme coin transactions remain subject to enforcement actions by regulatory agencies.
It is important to note that the information provided in this article is for informational and educational purposes only and should not be considered financial advice. Readers are advised to exercise caution and conduct their own research before making any investment decisions related to cryptocurrency.