Shiba Inu, the second largest breast coin in the crypto, decreased to $ 0.00001162 on Monday and depreciated by approximately 65 %of its summit price in November.

This sudden decline should not be considered only as a Shiba Inu -specific condition; Because a general slimming is observed in the breast coin market. For example, Dogecoin has decreased by 22 %in the last 30 days, while other popular breast coins, such as Pepe, Bonk and Floki, have declined by more than 25 %.

This is considered in connection with the negativity of general market sensitivity and the increase in the tendency of investors to avoid risk.

In addition to the decline in Shiba Inu’s performance, there is a significant decrease in the burning rate of the token. According to Shibburn data, Shiba Inu’s burning rate decreased by 88 %in the last 24 hours.

This week, less than 25 million SHIB tokens are burned under $ 400. This sharp decline in the burning rate shows that there is a decrease in the tendency of investors and community to remove the tokens from the market, and therefore there may be changes in supply-demand balance.

In addition, Shiba Inu’s Layer 2 solution, Shibarium’s performance, is also below expectations. On-Chain data on the transactions carried out on Shibarium show that the total number of completed transactions approaches 900 million, but the number of active addresses on the network remains at the level of 2.1 million.

This indicates that users are not actively involved in the network and therefore the interaction on the platform is reduced. At the same time, the transaction fees collected in the Shibarium network and the decentralized finance (defi) ecosystem decrease below $ 2.5 million locked (TVL), the network is among the factors that reduce the attractiveness of the network to investors and developers.

According to fashion show data, the main platforms in the shibarium ecosystem - Shibaswap, Woofswap, Chewyswap and Marswap - show that the interest rate of investor has decreased by losing its TVLs over 30 %in the last 30 days.

Similarly, Shiba Inu’s situation in the futures market is a significant decrease in open interest data. The $ 542 million open interest rate recorded since the beginning of the year shows that the market is weakening in terms of demand.

In daily graphs, SHIB’nin $ 0.0000333 in November this week decreased to $ 0.00001162; Then a short recovery rose to $ 0.000015.

In terms of technical indicators, the price of the Shıb was the “death cross” formation, where 50 -day and 200 -day -weight moving averages intersect. This formation is considered as a strong decline signal, as seen in the past; The emergence of this formation in June, which led to more than 40 %of SHIB.

In addition, the small Bearish Pennant formation of Shiba Inu is another technique that supports the current decline trend.

This formation predicts that the token may decrease to $ 0.001162 this week, and if the additional decreases in this level, the additional decreases continued and indicates that the next target can reach $ 0.00008480, the lowest level in January 2024.

In general, Shiba Inu’s technical and on-achain data show that the token suffered a significant decrease in existing market conditions and that investors should be cautious.

Investors should reconsider risk management strategies, given the general negativity in the breast coin market, the number of active users and the high volatility.