Coinpaper
2026-01-08 10:52:50

Shiba Inu Price Erases Weeks of Gains

Shiba Inu has surrendered most of its early-year momentum as the cryptocurrency market settles into its 2025 trading pattern. The meme coin now trades at price points that closely mirror its structure before the December holiday period. At the time of writing, SHIB trades at around $0.00000860, suggesting a 4.68% decline in the last 24 hours. SHIB’s price action over the past 24 hours (Source: CoinCodex ) The asset has experienced a notable shift in behavior. SHIB's current position reflects a return to normalized market conditions after weeks of irregular movement during the year-end period. This development marks a clear departure from the speculative activity that dominated late 2025 trading sessions. Market Structure Shows Signs of Stabilization The cryptocurrency has unwound much of the excessive volatility that characterized recent months. Prices have settled back into a familiar range. The speculative premium driven by thin liquidity and holiday-related market distortions has largely evaporated. Market analysts note this return to baseline conditions typically precedes more rational price discovery. Supply and demand dynamics are regaining influence over price action. The normalized environment suggests the market is transitioning away from artificial pressures that skewed trading patterns. Whale activity appears central to understanding SHIB's recent performance trajectory. Large wallet holders have historically exerted significant influence over the token's price movements. Strategic selling from these major holders often correlates with periods of weak performance. Distribution from concentrated wallets has repeatedly pressured prices downward. Evidence suggests some of this selling pressure may be easing. As markets move beyond the holiday phase, the impact of short-term liquidity events has diminished. This reduction in forced selling has created space for price stabilization. The asset now responds more to regular market participation than to distortions caused by low-volume conditions. Technical Picture Remains Mixed Despite Recovery SHIB continues trading below significant long-term resistance levels. However, the bounce from recent local lows indicates shifting short-term momentum. The stabilization represents meaningful progress even though a complete trend reversal has not materialized. SHIB/USDT Chart, Source: TradingView The market now reflects more consistent participation patterns. Price action responds to organic trading activity rather than artificial pressures from concentrated selling or volume anomalies. This shift creates conditions for more predictable valuation behavior. Exchange flow data supports the stabilization narrative. If major holders reduce aggressive distribution and exchange inflows remain balanced, SHIB could establish a more robust structural foundation. The probability of sudden chaotic declines driven by artificial pressure has decreased.

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