Shiba Inu's 40% Rally Fizzles Out Amid Aggressive Selling Pressure
Shiba Inu's latest attempt at recovery has stalled after a brief but intense surge. The token saw a significant price increase of 40% driven by a massive 12-fold rise in trading volume, but this momentum was short-lived.
The rally initially appeared convincing, with one of the biggest daily volume spikes of the year, suggesting new capital entering the market rather than just short-covering. However, sellers aggressively intervened near the 100-day EMA at $0.00000503, rejecting the price before SHIB could firmly establish a foothold above the moving average.
The expected crossover between the 20-day and 50-day exponential moving averages was one of the casualties of the decline. This mini-golden cross would have indicated growing short-term momentum, but instead, the reversal has caused the gap to widen once more, postponing any technical confirmation that a sustainable trend reversal is taking place.
Another significant story conveyed by volume is its sharp decline in today's session as the price retreated. This combination usually indicates that the initial buying impulse has already been absorbed, leaving the market searching for new demand before a leg higher can emerge.