Why did the price of SHIB fall?

Shiba Inu (SHIB) dropped 0.62% in the last 24 hours, following a slight overall crypto market decline of 0.14% and weak interest in meme coins. The main reasons behind this move are:

1. No Growth on the Network – Activity on the Shiba Inu blockchain and exchanges stayed flat
2. Price Hit Resistance – SHIB couldn’t break above important price levels
3. Confusing Whale Transfers on Coinbase – Large internal transfers were mistaken for big sell-offs

Detailed Analysis

1. Network Activity Stalls (Negative Signal)

What’s happening:
Data from the Shiba Inu blockchain shows almost no change:

• SHIB Netflow (coins moving in and out): -0.34%, basically unchanged
• Exchange Reserves (coins held on exchanges): +0.13%, meaning little selling pressure
• Active Wallets: No growth since late October (source)

Why it matters:
This lack of new buyers or sellers means Shiba Inu is stuck in a “liquidity vacuum.” Without fresh news or upgrades like Shibarium, SHIB’s price depends mostly on what’s happening in the broader crypto market.

2. Price Faces Resistance at Key Levels (Mixed Outlook)

What’s happening:
SHIB tried but failed to rise above its 50-day moving average, around $0.0000119—a price level that has blocked gains since August 2025. The current price is about $0.0000101, below:

• Fibonacci 38.2% retracement level: $0.000010878
• Pivot Point: $0.000010191

Why it matters:
Traders see this failed breakout as a sign that downward pressure remains. The Relative Strength Index (RSI) is 41.58, meaning there’s still room for the price to fall before SHIB becomes oversold.

What to watch:
If SHIB closes below $0.0000095681 (the 61.8% Fibonacci level), it could trigger automatic sell orders by trading algorithms, pushing the price down further.

3. Misunderstood Whale Activity on Coinbase (Neutral Effect)

What’s happening:
On October 24, Coinbase moved $12.7 million worth of SHIB between its own wallets. These internal transfers are normal but looked like big “whale” sell-offs on blockchain tracking sites (source).

Why it matters:
Many retail investors mistakenly see these internal moves as signs of large holders dumping coins. In reality, these transfers don’t change how many SHIB coins are available to trade, but they did create some negative market sentiment.

Conclusion

Shiba Inu’s recent price drop is due to technical resistance, low trading activity, and confusion from Coinbase’s internal transfers. This is happening while Bitcoin’s dominance in the market (59.23%) is pulling liquidity away from altcoins like SHIB. Although the sell-off is mild, SHIB needs either a new Shibarium update or a rebound in meme coin popularity to gain momentum again.

Key level to watch: Can SHIB hold above $0.0000095, a support level seen between July and September 2025? If it falls below this, SHIB could drop another 15-20%.

What could affect the price of SHIB?

Shiba Inu balances between meme-driven price swings and important upgrades to its ecosystem.

1. Shibarium Upgrades – Automated token burns and governance changes could reduce supply.
2. Market Sentiment – Bitcoin’s strong position and low trading volume make it hard for altcoins to rally.
3. Whale Activity – With 62% of SHIB held by the top 10 wallets, big holders could cause price swings.

Deep Dive

1. Shibarium Ecosystem Upgrades (Positive Outlook)

Overview:
Shiba Inu’s layer-2 blockchain, called Shibarium, started burning tokens automatically in October 2025. This means tokens are destroyed in real-time during transactions, instead of relying on manual updates. Since 2021, over 410 trillion SHIB tokens have been burned. In June 2025, the “Shib Alpha Layer” upgrade improved transaction speed and allowed easier interaction across different blockchains (U.Today).

What this means:
By automatically burning tokens, the total supply of SHIB (currently 589 trillion) could slowly shrink, potentially supporting the price by making tokens scarcer. Partnerships with gaming platforms like TokenPlay and new decentralized finance (DeFi) tools may attract more users, though it’s still early to tell how widely these will be adopted.

2. Altcoin Liquidity Crunch (Negative Outlook)

Overview:
Bitcoin’s market share increased to 59.2% in October 2025, signaling strong investor preference for Bitcoin over other cryptocurrencies. The Altcoin Season Index also pointed to a “Bitcoin Season” with a low score of 24. SHIB’s trading volume relative to its supply is low (1.99% turnover in 24 hours), which means fewer tokens are actively traded, leading to bigger price swings. Interest in SHIB derivatives dropped 21% to $78.7 million, showing less speculative trading (Coinglass).

What this means:
In times when investors prefer safer assets, SHIB’s reputation as a meme coin makes it vulnerable to losing value as money moves into Bitcoin or stablecoins. Low liquidity means prices can drop sharply during sell-offs, as seen when SHIB fell 23% in a month to $0.0000101.

3. Whale Accumulation vs. Centralization Risks (Mixed Outlook)

Overview:
According to Santiment data, one large holder (a “whale”) owns 41% of all SHIB tokens. In October 2025, 289 billion SHIB tokens were moved off exchanges, suggesting accumulation by big holders. However, this concentration of tokens in a few wallets risks sudden price drops if whales decide to sell. SHIB’s 24-hour trading volume also decreased 19% to $119 million, indicating cautious retail investors (CryptoQuant).

What this means:
While whales can drive price increases, these moves may not last without support from everyday investors. The heavy concentration of tokens means that if large holders sell quickly, it could cause sharp price crashes, like the 15% drop seen in July 2025 after profit-taking.

Conclusion

SHIB’s price depends on whether Shibarium’s upgrades and token burns can balance out the volatility caused by its meme coin status. While these improvements offer long-term potential, Bitcoin’s dominance and the risks from large holders remain challenges. Keep an eye on Shibarium’s daily transactions (currently 3.85 million) and net flows on exchanges to spot signs of growing interest. The big question is: will SHIB evolve beyond its meme origins or continue to be driven by broader market trends?

What are people saying about SHIB?

The Shiba Inu (SHIB) community is divided between hopeful optimism and cautious doubt. Here’s the quick take:

1. Positive chart signals suggest possible price rallies.
2. Big investor activity is causing debate about market swings.
3. Price stagnation is testing the patience of holders.

In-Depth Look

1. @JavonTM1: Bullish signals could lead to a 156% rally 🚀

“SHIB’s MACD bullish divergence points to a trend reversal – a 180% rise to $0.000032 might happen!”
– @JavonTM1 (180K followers · 2.1M impressions · 2025-08-09 05:50 UTC)
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What this means: Technical analysts see SHIB’s oversold RSI (37-40) and positive chart patterns as signs that the price could bounce back. However, some remain skeptical about whether this momentum can last.

2. @DexCheck_io: Large investor moves spark speculation 🐋

“6,500 new wallets bought SHIB despite an 11% weekly drop – 1.26 trillion SHIB moved on Coinbase.”
– @DexCheck_io (92K followers · 890K impressions · 2025-07-29 15:13 UTC)
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What this means: Big transfers like 1.26 trillion SHIB on Coinbase suggest that large investors or institutions are repositioning their holdings. It’s unclear if this means they’re accumulating more SHIB or just managing liquidity.

3. @Benzinga: Price stagnation is testing holder confidence 😴

“SHIB’s on-chain activity is flat – exchange reserves dropped by 289 billion, and trading volume has dried up.”
– U.Today (1.2M followers · 2025-10-23 13:38 UTC)
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What this means: Lower volatility and inactive tokens indicate the market is in a holding pattern. Investors are waiting for bigger economic changes or updates in the Shiba Inu ecosystem to move the price.

Conclusion

The outlook for SHIB is mixed. Some traders see signs of a rebound, especially if the price breaks above $0.0000119 (the 50-day moving average). Others warn that if support fails, the price could fall to $0.0000090. Keep an eye on the burn rate (which jumped 1,224% on October 24) and the adoption of Shibarium, Shiba Inu’s blockchain platform—these factors could influence the next big move. For now, SHIB reflects the broader meme coin market fatigue and needs a catalyst to break out of its current range.

What is the latest news about SHIB?

Shiba Inu (SHIB) is holding steady as its price and activity show little change, even as upgrades to its ecosystem are underway. Here’s the latest update:

1. Market Standoff (October 25, 2025) – SHIB’s price and blockchain activity remain flat, indicating uncertainty among investors.
2. Potential Rebound Signal (October 25, 2025) – A technical pattern called a double-bottom suggests SHIB might rise toward $0.000012–$0.000013.
3. Coinbase Wallet Shuffle (October 24, 2025) – $12.7 million worth of SHIB was moved between Coinbase wallets internally, causing speculation but no real market effect.

In-Depth Look

1. Market Standoff (October 25, 2025)

What’s happening: SHIB is trading around $0.0000101, down 15% over the past month. Key indicators like the Relative Strength Index (RSI) are low (37–40), and the amount of SHIB moving in and out of exchanges is balanced. There’s no big activity from large holders (“whales”) or sudden price swings. This points to a market stuck in place due to low trading volume and no major news.
Why it matters: After a 23% drop in October, SHIB seems to be settling into a quiet phase. Without increased trading or new developments—like updates to Shibarium, its blockchain platform—this sideways movement is likely to continue. (U.Today)

2. Potential Rebound Signal (October 25, 2025)

What’s happening: SHIB’s price formed a “double-bottom” pattern around $0.0000098. This pattern often signals a possible price recovery as buying picks up and selling slows. Analysts see resistance at the 50-day moving average, about $0.0000119. If SHIB breaks above this level, it could aim for $0.000013.
Why it matters: This is a positive technical sign, but SHIB needs steady trading volume to push past resistance. If it falls below $0.0000100, it might revisit the lows seen earlier in October. (U.Today)

3. Coinbase Wallet Shuffle (October 24, 2025)

What’s happening: Around 1.26 trillion SHIB tokens, worth about $12.7 million, were moved between Coinbase wallets using temporary addresses. This created confusing signals on the blockchain, but the tokens never left Coinbase’s control.
Why it matters: This internal reshuffling doesn’t affect the market but highlights how much SHIB liquidity is held on centralized exchanges. It also shows how such moves can be mistaken for large investor activity (“whale moves”) when they’re really just internal transfers. (U.Today)

Conclusion

SHIB is caught between broader negative market trends and some cautious optimism from technical analysis. While upgrades to its ecosystem like Shibarium are in progress, they haven’t yet boosted the price. The key question is whether SHIB can break above $0.0000119 to attract more buyers or if it will continue to trade sideways for now.

What is expected in the development of SHIB?

Shiba Inu is making progress with these key updates:

1. DAO Governance Expansion (Q4 2025) – Community elections and improved voting options.
2. Shib Alpha Layer Full Launch (2026) – A new Layer-3 blockchain offering instant transactions and privacy features.
3. AI Technical Paper Release (Q4 2025) – A plan for integrating artificial intelligence into the Shiba Inu ecosystem.

Deep Dive

1. DAO Governance Expansion (Q4 2025)

Overview:
The SHIB DAO (Decentralized Autonomous Organization) is moving toward full community control. This includes holding elections to choose leaders and councils (U.Today). They are also working on better voting methods, like staking tokens, using ERC-20 tokens, and quadratic voting, which helps balance voting power.

What this means:
This is a positive step for SHIB because it can build more trust and attract bigger investors. But, if not enough people vote or if there are technical issues, the timeline could be delayed.

2. Shib Alpha Layer Full Launch (2026)

Overview:
This new Layer-3 blockchain, built on top of Shibarium, aims to make blockchain use easier and faster. It will support nearly instant transactions and allow payments beyond just the BONE token. It also plans to include privacy features using advanced encryption technology called Fully Homomorphic Encryption (FHE) developed by Zama (CoinMarketCap).

What this means:
This is good news for SHIB because faster and cheaper transactions can encourage more apps and games to use the network. However, success depends on developers adopting the platform and avoiding technical problems as it grows.

3. AI Technical Paper Release (Q4 2025)

Overview:
Shytoshi Kusama, the lead developer, announced a technical paper focused on AI. It will explain partnerships like TokenPlayAI and how AI will be integrated into ShibaSwap (the decentralized exchange), Shibarium, and governance (CoinMarketCap).

What this means:
This could set SHIB apart from other meme coins by adding smart AI features. However, since the timeline is unclear and the project depends on outside technology, the immediate impact on SHIB’s price might be limited.

Conclusion

Shiba Inu’s roadmap focuses on making the project more decentralized, scalable, and smart with AI—important steps to evolve beyond just a meme coin into a versatile platform. While upgrades like the Shib Alpha Layer and governance improvements are promising, challenges in execution and market conditions will play a big role. The big question is whether SHIB can outpace other projects in the competitive Layer-3 blockchain space.

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What updates are there in the SHIB code base?

Shiba Inu’s recent updates focus on improving governance, adding DeFi tools, and strengthening blockchain infrastructure.

1. Governance Overhaul (August 18, 2025) – Added multi-choice voting options for Shibarium proposals.
2. Shibarium AI & Privacy Upgrade (July 25, 2025) – Brought AI features and better privacy to the Layer-2 network.
3. Live Burn Integration (June 9, 2025) – Automated real-time token burning for SHIB and related tokens.
4. Node Security Patch (June 6, 2025) – Fixed MetaMask Mobile errors and restored network snapshots.

Deep Dive

1. Governance Overhaul (August 18, 2025)

What happened: The Shib Doggy DAO introduced new voting methods to make decision-making more flexible and decentralized. Now, holders of SHIB, LEASH, BONE, and TREAT tokens can vote directly on Shibarium proposals using different systems, including staking, ERC-20 token voting, and quadratic voting. Quadratic voting helps prevent large holders (“whales”) from having too much influence by making repeated votes more costly. A simple one-person-one-vote system is also being developed.

Why it matters: This update is positive for SHIB because it gives the community more control and reduces the risk of centralization. It supports Shiba Inu’s goal of becoming a truly decentralized ecosystem. (Source)

2. Shibarium AI & Privacy Upgrade (July 25, 2025)

What happened: Shibarium added AI-powered tools and enhanced privacy features to its Layer-2 blockchain. These upgrades include modular privacy layers and AI integration for smart contracts, which improve transaction privacy and enable smarter automation. After the update, daily transactions increased to 3.85 million, showing growing developer interest.

Why it matters: In the short term, this is neutral for SHIB since real-world use will determine success. However, if AI tools attract new projects, it could be very positive for Shiba Inu in the long run. (Source)

3. Live Burn Integration (June 9, 2025)

What happened: Shibarium’s DeFi toolkit now automatically burns tokens during swaps, liquidity additions, and other on-chain activities in real time instead of in batches.

Why it matters: This helps reduce the supply of SHIB gradually, which is mildly positive for the token’s value. However, the daily burn rate is still relatively low (around 10 million SHIB per day), so the impact will be slow and depends on continued user activity. (Source)

4. Node Security Patch (June 6, 2025)

What happened: A critical update fixed errors affecting MetaMask Mobile users and restored missing network snapshots. The patch improved compatibility with new fee methods (EIP-1559), ensuring smoother transactions on mobile devices.

Why it matters: This update doesn’t directly affect SHIB’s price but improves network stability and user experience, especially for less technical users. (Source)

Conclusion

Shiba Inu’s recent updates focus on improving governance, adding useful features, and making the network more scalable. These changes help shift Shiba Inu from just a meme coin to a more functional blockchain ecosystem. While token burns and DeFi tools support the token’s economics, the success of Shibarium’s AI and privacy upgrades will be key to attracting developers and growing the platform. The big question remains: will these improvements be enough to establish SHIB as a strong player in the Web3 space?