Shiba Inu experienced a notable decline following an initial surge at the start of 2026, concluding four consecutive days of losses. The cryptocurrency had a promising start, with significant gains between January 1 and January 5. On January 5, Shiba Inu peaked at $0.00001017, a level not seen since early November, briefly erasing a zero from its price. However, this momentum could not be sustained, and the asset began to fall.
As of January 6, Shiba Inu had hit a low of $0.00000846 after experiencing four days of losses. This downturn has been attributed to decreased trading volumes and low liquidity, which have resulted in erratic price movements across both Bitcoin and various altcoins. Many recent price increases have been swiftly reversed, negatively impacting leveraged traders. This situation follows a significant liquidity void and diminished market depth stemming from a major liquidation event in October that erased nearly $20 billion in leveraged positions.
In the face of these challenges, Lucie, a member of the Shiba Inu team, reached out to the community on social media platform X, encouraging them to remain resilient. She shared a visual representation illustrating how market sentiment directly influences price action: “Belief builds empires while doubt leaks values,” and “panic burns portfolios, while weak hands write regrets.”
At the time of this report, Shiba Inu had seen a slight decrease of 0.8% over the last 24 hours, trading at $0.000008658, although it remained up 9.58% on a weekly basis. Positively, the cryptocurrency is maintaining its position above the daily moving average (MA) at 50, currently set at $0.000008. Holding above this level and converting it into a support zone could potentially strengthen the bullish case for Shiba Inu. If this occurs, the token could set its sights on reaching $0.00001 and eventually $0.000011, which would result in erasing a zero from its current price.
