Man, Shiba Inu is showing signs of weakness in the short term. It broke a support level that has been holding the decline since March, and that doesn’t seem like a joke. The over 3% drop over the weekend closed the first negative weekly candle in three weeks, and look, when you break a support like that with a long-bodied candle, it’s because there’s real conviction.

What worries me is that Shiba Inu formed a bearish engulfing pattern last week. The 3.8% drop engulfed the entire previous green candle, signaling that sellers are back. Volume is also decreasing, which suggests the market is cautious. Without any bullish divergence or positive signals, it’s hard to see a quick recovery.

The next support I see for Shiba Inu is around 0.00000520, and if that breaks too, we’ll return to February’s lows. There’s a parallel channel that started in March that’s still holding, but if SHIB breaks out of it, it will be really critical. For now, everything points downward, so I recommend staying alert to the movements.