SHIB price is once again in the spotlight after suffering a steep decline, with its price testing key support levels and triggering over $1.8 million in liquidations. As traders reassess their exposure to meme coins, SHIB’s market behavior is offering important signals about where crypto sentiment might be headed next.
A Sharp SHIB Price Correction Triggers Panic
After peaking above $0.000016 in early June, SHIB has entered a sharp downward trend, currently hovering just above $0.0000117. Trading volumes have contracted significantly, and sentiment has turned bearish following aggressive sell-offs. The correction follows a broader market cooldown—but SHIB’s underperformance is more pronounced compared to other altcoins.
Source: Coinglass
The liquidation of over $1.8M in long positions—as reported by Coinglass—highlights the suddenness of this shift. The long/short ratio has dropped steeply, confirming that bulls are exiting while short sellers take control.
Technical Levels and Trader Reactions
The current price zone is critical: SHIB is holding just above a multi-month support near $0.0000115. A breakdown here could open the door to deeper losses toward the psychological $0.000010 level.
Source: Tradingview
Conversely, a short-term rebound may emerge if buying pressure returns. Analysts are closely watching the volume and RSI divergences for early signs of reversal. However, the absence of strong catalyst news makes recovery unlikely unless Bitcoin rallies decisively.
Market Rotation Away from Meme Coins?
Beyond SHIB’s chart, the market seems to be rotating away from high-volatility meme assets. Analysts noted that investors are reallocating toward assets with real utility or staking yield—especially as macro conditions remain uncertain.
As speculative appetite wanes, tokens like SHIB are being sold to move into newer narratives such as Real World Assets (RWA), AI tokens, and Telegram-integrated gaming coins. The trend is supported by inflows into fundamentally backed presales and DeFi protocols, while meme coin dominance steadily declines.
Final Thoughts: Can SHIB Reclaim Its Momentum?
For SHIB to recover from this downtrend, it would need more than just short-term technical relief. A renewed social media push or ecosystem update—like a major Shibarium upgrade—could help. Otherwise, traders may continue offloading positions in favor of assets with lower risk and higher upside.
Until then, SHIB remains in a vulnerable position, and the $0.000011 zone is the key level to watch.
