Latest SHIBAAI (SHIBAAI) Price Analysis

By CMC AI
01 September 2025 04:43PM (UTC+0)

Why is SHIBAAI’s price down today? (01/09/2025)

TLDR

SHIBAAI fell 16.03% over the past 24h, underperforming the broader crypto market (-0.6%). The drop follows a 273% 7-day rally, suggesting profit-taking and cooling momentum.

  1. Overbought correction – RSI above 75 signals exhaustion after parabolic gains.

  2. Market-wide risk aversion – Fear sentiment (CMC Index: 39) pressures speculative assets.

  3. Low liquidity – 60% drop in trading volume weakens price support.

Deep Dive

1. Overheated Technicals (Bearish Impact)

Overview: SHIBAAI’s 14-day RSI hit 75.4 (above 70 = overbought), its highest since the rally began. The MACD histogram – though positive at 0.00000000038807 – shows slowing upward momentum.

What this means: Extreme RSI readings often trigger profit-taking, especially after a 273% weekly surge. The price broke below its 7-day SMA ($0.00000000195), eroding short-term support.

What to watch: A close below the 23.6% Fibonacci retracement ($0.00000000739) could signal deeper correction toward $0.00000000600 (38.2% level).

2. Risk-Off Market Sentiment (Bearish Impact)

Overview: The crypto Fear & Greed Index fell to 39 (Fear) as Bitcoin dominance rose to 57.61%, signaling capital rotation away from altcoins.

What this means: Memecoins like SHIBAAI are highly sensitive to risk appetite. Traders likely reduced exposure to volatile assets amid broader uncertainty, despite stable total crypto market cap (-0.33% monthly).

3. Thin Trading Conditions (Bearish Impact)

Overview: SHIBAAI’s 24h volume plunged 60% to $1M, while its turnover ratio (0.477) indicates moderate liquidity risk.

What this means: Lower volume magnifies price swings. Fewer buyers at key levels allowed sellers to push prices down with minimal resistance.

Conclusion

SHIBAAI’s drop reflects a natural cooldown after unsustainable gains, worsened by cautious market sentiment and fragile liquidity. Traders appear to be locking in profits rather than exiting entirely, given the token’s 273% weekly gain still holds.

Key watch: Can SHIBAAI hold the 23.6% Fib level ($0.00000000739)? A rebound here might stabilize the trend, while a breakdown could test $0.00000000600.

Why is SHIBAAI’s price up today? (31/08/2025)

TLDR

SHIBAAI rose 6.13% over the last 24h, extending its 7-day surge of 429.48% despite a 5.35% drop in the broader crypto market. Here are the main factors:

  1. Extreme Overbought Signals (Bearish Impact)

  2. Speculative Volume Spike (Mixed Impact)

  3. Meme Coin Divergence (Bullish Impact)

Deep Dive

1. Extreme Overbought Signals (Bearish Impact)

Overview: SHIBAAI’s RSI-7 hit 97.25 (above 70 = overbought), its highest since August 2025, while the price trades 161% above its 7-day SMA ($0.00000000158 vs. $0.00000000413).

What this means: Such extreme readings historically precede sharp corrections in meme coins. The MACD histogram (+0.00000000034882) still shows bullish momentum, but Fibonacci extensions suggest resistance near $0.00000001555 – a 276% gap from current levels.

What to look out for: A close below the 78.6% Fibonacci retracement ($0.0000000021478) could trigger stop-loss cascades.

2. Speculative Volume Spike (Mixed Impact)

Overview: 24h trading volume surged 156.92% to $2.63M, with turnover (volume/market cap) at 1.08 – indicating high liquidity but also speculative churn.

What this means: While elevated volume confirms retail interest, SHIBAAI’s self-reported circulating supply (589.5T tokens) creates dilution risks. The 429% weekly gain lacks fundamental anchors, relying on momentum traders’ “greater fool” dynamics.

3. Meme Coin Divergence (Bullish Impact)

Overview: SHIBAAI defied a 5.35% crypto market decline over 7 days, echoing patterns seen in Dogecoin and Shiba Inu during past alt seasons.

What this means: The CMC Altcoin Season Index rose 61.11% in 30 days, signaling capital rotation to high-risk assets. However, Bitcoin dominance remains elevated at 57.12%, capping sustained alt rallies.

Conclusion

SHIBAAI’s rally stems from meme coin speculation and technical momentum, but overbought signals and supply inflation risks loom. Traders face asymmetric downside if sentiment shifts.

Key watch: Can SHIBAAI hold above its 7-day EMA ($0.0000000019473) – a 52.8% drop from current levels – to avoid a liquidity crunch?

CMC AI can make mistakes. Not financial advice.