Shiba Inu price remains in a bear market and could see additional downside after forming a death cross pattern while a key metric declines. Shiba Inu ( SHIB ), the second-largest meme coin in crypto, dropped to a low of $0.00001162 on Monday, marking a 65% decline from its November peak. SHIB’s crash coincided with broader weakness in meme coins. Dogecoin ( DOGE ) has fallen 22% over the past 30 days, while Pepe, Bonk, and Floki have dropped by more than 25%. Shiba Inu’s burn rate has also dropped this week. Shibburn data shows an 88% decline in the burn rate over the last 24 hours. Fewer than 25 million SHIB tokens, currently worth less than $400, have been burned this week. Additional data suggests that Shibarium, Shiba Inu’s Layer 2 network, is underperforming. While total completed transactions are nearing 900 million, the number of network addresses has stagnated at 2.1 million. You might also like: Red alert as Shiba Inu price forms two risky patterns Meanwhile, fees collected on the network and the total value locked in its decentralized finance ecosystem have dropped below $2.5 million. The TVL of major platforms within the ecosystem, ShibaSwap, WoofSwap, ChewySwap, and Marswap, has declined by over 30% in the past 30 days. ShibaSwap DeFi TVL has dropped | Source: DeFi Llama Additionally, Shiba Inu’s futures open interest has declined in recent weeks, indicating weaker demand. Open interest has fallen to $182 million, down from its year-to-date high of $542 million. Shiba Inu price has formed a death cross SHIB price chart | Source: crypto.news The daily chart shows that SHIB fell from its November high of $0.0000333 to a low of $0.00001162 this week. It then rebounded to a high of $0.000015. The SHIB price has formed a death cross pattern, where the 50-day and 200-day weighted moving averages have crossed. A death cross is a well-known bearish pattern. The last time this pattern appeared in June last year, SHIB fell by over 40%. Shiba Inu has also formed a small bearish pennant pattern. As a result, the coin may drop to the next key level at $0.00001162, its lowest point this week. A decline below that level would indicate further downside, with the next target at $0.00008480, its lowest level in January 2024, representing a 45% drop from the current price. You might also like: Crypto.com’s Cronos ETF and stablecoin launch on the horizon
