Monday Market Meltdown

Monday is considered the most unpleasant day of the week, and the cryptocurrency market is proving that today. With the U.S. stock market opening at a three-week low, prices in the crypto market were hit hard, resulting in $349.34 million liquidated in just 24 hours, with $293.79 million from long positions.

The price charts for many cryptocurrencies look discouraging, with multiple indicators supporting this notion. For example, the popular meme-inspired cryptocurrency, Shiba Inu (SHIB), faced strong resistance at its 23-day moving average, losing 5.83% of its value in the last 16 hours.

As bullish sentiments fade and bearish market trends dominate, SHIB appears set to test buyers’ appetites around the $0.000011 level, representing a 23% drop from its current price. This outlook isn’t optimistic.

The question remains: is this the beginning of the end or has the end already happened? Few would have predicted such declines in December or November when optimism soared across the market. Many headlines suggested February would herald a prosperous period for cryptocurrency, aligning with historical trends.

What’s the End Game?

What is the strategy behind these market movements? Are we witnessing a tactic to shake out weak hands and latecomers? Is this truly a paradigm shift, erasing hopes for a bull market and altcoin season?

The crypto market is often unpredictable; it’s better to react than to predict. Thus, even as SHIB leans towards lower support levels, circumstances may shift with the next hourly candle.