Shiba Inu (SHIB) price has declined 10% over the past seven days, following its December 7 peak when it reached its highest levels since January 2024. The recent pullback highlights weakening momentum, with key indicators such as RSI and DMI reflecting a bearish shift in market sentiment.

While SHIB’s downtrend currently lacks significant strength, continued selling pressure could push the price toward key support levels. However, a recovery above critical resistance could signal a potential reversal and renewed bullish momentum in the short term.

SHIB RSI Has Been Neutral Since December 20

Shiba Inu Relative Strength Index (RSI) is currently at 40.4, down from approximately 57 just two days ago. This significant drop indicates a loss of buying momentum, with the market leaning toward a bearish sentiment.

The move toward lower RSI levels suggests that sellers have gained control, pushing the price closer to oversold territory, though not yet fully in that zone.

RSI is a momentum indicator that measures the speed and magnitude of price movements on a scale from 0 to 100. Values above 70 indicate overbought conditions, which often precede a correction, while values below 30 suggest oversold conditions, potentially leading to a rebound.

With SHIB RSI at 40.4, it remains in a bearish-neutral range, indicating some selling pressure without yet reaching oversold levels. In the short term, this could mean that SHIB’s price may continue to decline or stabilize near current levels unless strong buying interest re-emerges to shift the momentum.

Shiba Inu Current Downtrend Is Not That Strong

SHIB’s Directional Movement Index (DMI) chart shows its Average Directional Index (ADX) at 19.13, down from higher levels just three days ago. This decline in ADX indicates that t

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Author: Tiago Amaral