Key Takeaways
Why is SHIB back near its demand zone?
Price dropped 26% to $0.00000984, nearing $0.00001078–$0.00000817 — the same range that triggered a 406% surge in 2024.
What are metrics showing now?
MFI at 44.17 and A/D at 62.14T reflect steady accumulation despite weak sentiment, suggesting a possible rebound setup.
The memecoin sector has taken a major hit following the broader market decline that began on the 6th of October.
Despite falling 26% in recent weeks, Shiba Inu [SHIB] managed a brief 1.7% rebound over the past day. But data suggests this recovery could fade before any larger rally forms.
SHIB approaches key demand zone
SHIB traded near $0.00000984 on the 18th of October, extending its decline after breaching a short-term support.
The weekly chart showed the memecoin edging toward a major demand zone between $0.00001078 and $0.00000817.
Source: TradingView
That range previously triggered a 406% rally in early 2024, propelling SHIB to its yearly peak of $0.00003665. A repeat move from this zone remains possible if liquidity concentrates again at lower levels.
The key question remains: Will SHIB revisit this level?
Investors making deliberate moves
The likelihood of SHIB dropping into this zone remained high given recent investor activity. Data from CoinGlass suggested that retail investors in both the Spot and Perpetual markets were contributing to the decline.
Spot Netflow on the 18th of October showed +$1.17 million, according to CoinGlass, but the broader pattern remained negative for much of Q3.
Source: CoinGlass
In the perpetual market, over $6.8 million in contracts were closed, pointing to risk-off positioning. That capital rotation may have shifted toward stronger sectors, leaving SHIB exposed to short-term downside pressure.
Buyers remain active
Despite the pullback, buyers remained active, suggesting the move lower could be intentional and temporary.
The Money Flow Index (MFI) showed a slight uptick toward the positive region, at press time, indicating that capital continued to favor SHIB despite recent weakness.
Similarly, the Accumulation/Distribution (A/D) metric stayed positive at 62.14 trillion SHIB, showing steady buying volume.
Source: TradingView
This outlook supported the growing sentiment that SHIB could post further gains—especially if it trades down to the demand zone, where buy orders are concentrated, or even at current levels where buyers remain active.
Source: https://ambcrypto.com/memecoin-meltdown-hits-shiba-inu-this-range-can-decide-shibs-comeback/
