Shiba Inu has recently faced a significant 35% decline, leaving many investors wondering if the latest partnership with Chainlink can steer the ship back in favor of SHIB. This collaboration promises to enhance the operations of the Shibarium mainnet, potentially lifting morale and investor confidence.
The recent deal involves Shiba Inu adopting Chainlink’s CCT (Cross-Chain Technology) standard, which aims to bolster the efficiency and security of Shibarium, particularly in the realm of DeFi (Decentralized Finance). Such advancements signal a strong commitment to future growth, hinting at a brighter outlook. But let’s be real—it’s more of a long-term play than an immediate fix.
Currently, SHIB is grappling with bearish trends, trading at around $0.00002295, following a 12.84% drop. This downward spiral is largely attributed to intense selling pressure that has pushed the price below critical support levels. With hefty outflows reported—nearly $10 million leaving the market on December 20th—bearish sentiment has clawed its way back into the space.
Despite the big sell-off, hints of a silver lining do exist. For instance, the RSI (Relative Strength Index) suggests SHIB is nearing oversold territory, which often indicates a potential for recovery. Just last week, whale accumulation spiked slightly, indicating that some large holders see value and are ready to buy the dip.
Interestingly, the Open Interest-Weighted Funding Rates shifted into the negative territory but later bounced back, suggesting that smart investors are stepping in at perceived discounts. However, as of Saturday morning, those funding rates turned red again, hinting that caution remains the order of the day—further decline might still be on the horizon.
So, can the Chainlink partnership help SHIB recover from its slump? While the collaboration could foster a more favorable environment for the future, the immediate response from the market seems tepid at best. Investors might want to hold their breath and keep an eye on market dynamics as the situation continues to evolve.
In a space as volatile as cryptocurrency, every bullish whisper and bearish shout carries weight. While the Chainlink alliance is a step in the right direction for Shiba Inu, the path to recovery is often filled with twists and turns. Stay alert and consider how each development unfolds.
