Shiba Inu Faces Mounting Pressure as Bearish Metrics Hint at More Losses

Weak on-chain activity and fading investor interest continue weighing on SHIB's price. Bearish derivatives data signals traders expect further downside for the meme coin. Technical indicators suggest SHIB could retest yearly support before any meaningful recovery. Shiba Inu has returned to the spotlight, though not for reasons the holders expected. Recent price action reflects growing selling pressure as buyers struggle to regain control. Several technical and on-chain indicators now point toward weakening demand. Derivatives data also supports a cautious outlook. Combined with rising geopolitical uncertainty, current conditions suggest SHIB could remain under pressure unless market sentiment improves during the coming sessions. https://twitter.com/i/status/2077031965971153318 Weak On-Chain Activity and Derivatives Data Weigh on SHIB SHIB trades below $0.0000042 after recording four straight days of losses. Selling pressure has continued since last week's rejection near a key resistance level. Bulls have struggled to attract enough buying interest for a meaningful recovery. Current market conditions favor sellers as momentum continues fading. Investor engagement has also weakened. Santiment's Social Dominance metric has dropped sharply since reaching a recent high on July 12. Current readings have fallen close to levels recorded earlier this month. Lower social activity often reflects declining interest among traders. Such behavior usually reduces buying momentum across speculative assets. Derivatives markets paint a similar picture. The long-to-short ratio currently stands at 0.91. A reading below shows more traders expect lower prices. Bearish positioning has steadily increased during recent sessions. That trend highlights growing confidence among short sellers. Funding rates also remain negative. Current data shows a reading of negative 0.0136%. Short traders continue paying long traders to maintain positions. Such conditions usually appear when bearish sentiment dominates futures markets. Combined with weak social activity, derivatives data strengthens expectations for additional downside. Broader market conditions have added another challenge. Technical Indicators Suggest Further Downside Risk Daily price action continues supporting a bearish outlook. SHIB has already lost more than five percent during recent sessions. Price failed to break above a descending trendline that has limited gains since mid-May. Sellers quickly regained control after another rejection. The next important support sits near the yearly low around $0.0000040. Continued selling could push prices toward that level. Buyers must defend support to prevent another sharp decline. Losing that area could invite fresh selling pressure. Momentum indicators also favor bears. The Relative Strength Index currently reads 31 and continues moving lower. That level approaches oversold territory while confirming weakening momentum. The Moving Average Convergence Divergence indicator also approaches a bearish crossover. Such signals often strengthen negative price trends. Despite current weakness, recovery remains possible if buying demand returns. A stronger rebound could lift SHIB toward resistance near $0.0000044. Bulls must reclaim that area before sentiment improves. Until then, sellers continue holding the advantage. Shiba Inu faces several bearish signals across technical, on-chain, and derivatives markets. Weak investor participation continues limiting recovery attempts. Geopolitical uncertainty has further reduced confidence in speculative assets.