Dog-themed Cryptocurrency Under Pressure

Dog-themed cryptocurrency Shiba Inu (SHIB) is experiencing significant downward pressure, primarily due to a broader market sell-off. Continuing bearish trends have lowered cryptocurrency prices substantially over the weekend, affecting Monday’s session as well.

Investor disappointment followed an executive order last week that established a U.S. Bitcoin reserve and digital asset stockpile. However, macroeconomic uncertainty drove an accelerated downward move on Monday.

On Tuesday morning, the crypto market sell-off intensified, influenced by ongoing selling pressure in the equities market. The S&P 500 experienced a 2.7% drop, while the Nasdaq 100 lost 3.8%, marking its worst day since 2022. According to CoinGlass data, the cryptocurrency market recorded $957 million in liquidations within the last 24 hours.

Without a specific catalyst for crypto recovery, general macroeconomic concerns are expected to keep pressuring cryptocurrency prices in the near future.

SHIB to Add an Extra Zero?

Shiba Inu has fallen for four consecutive days since March 7, dropping from highs of $0.000013 to lows of $0.00001142 by March 10. Currently, SHIB is down 8.15% in the last 24 hours at $0.0000117, after hitting intraday lows of $0.00001082.

The recent sell-off indicates that SHIB might be on track to add an extra zero to its price, particularly if it falls below the $0.00001 mark. However, this speculation may not materialize; the last occurrence of SHIB trading with five zeros was in February 2024. Historical patterns show that bulls have repeatedly intervened to prevent SHIB from adding an extra zero.

Technical analysis suggests that the crucial lower support level at $0.0000108 has previously shielded SHIB’s price from adding an extra zero in August 2024, emphasizing its importance. A breach of this support could push the price toward $0.000099, leading to SHIB adding that extra zero.