Shiba Inu Slips Toward the Edge of the Top 40 Assets: Can SHIB Regain Market Strength?

Shiba Inu (SHIB) is under renewed pressure as its market position weakens. Once ranked among the top 15 cryptocurrencies, SHIB now sits near the lower end of the top 40 by market capitalization. Recent price movement and fading interest have raised questions about whether the token can recover in the next market cycle.

Shiba Inu Falls Behind Large-Cap Peers After Steep Yearly Decline

Ranked 37th in the crypto market standing, Shiba Inu commands a valuation of about $4.17 billion. However, continued losses have increased the risk that the memecoin will fall out of the top 40 if current trends continue. For a token that once drew heavy retail attention, the decline reflects broader market weakness as well as challenges facing meme-based assets.

SHIB struggled throughout 2025 after peaking near $0.000032 in December 2024. Since then, prices have moved steadily lower. According to on-chain reports, the token is down 11.2% over the past month and more than 65% from its late-2024 peak. Likewise, performance metrics show SHIB trailing most large-cap crypto assets.

Several data points help explain the pressure on Shiba Inu’s price:

• Shiba Inu has underperformed 99% of the top 100 crypto assets over the past year.
• The memecoin trades below its 200-day simple moving average.
• Additionally, it has recorded only 10 positive daily closes in the last 30 sessions.
• Shiba Inu remains nearly 92% below its all-time high.
• Plus, its trading volume has tanked during recent sell-offs.

Together, these factors point to weak momentum and low trader confidence. Short-term rebounds have failed to hold, while selling pressure continues to dominate the broader trend.

Technical Indicators Point to Stabilization, Not Reversal, for SHIB

On the technical side, SHIB has found short-term support near the $0.000007 level, commonly referred to by traders as the “magic of 700.” After months of decline, price movement slowed around this area. Candles tightened instead of moving lower, and trading volume dropped, suggesting reduced selling pressure rather than new buying.

Historical chart data show that this price zone has served as a stabilization area in past cycles. Previous moves near $0.000007 produced brief rebounds but did not lead to lasting uptrends. As a result, traders see the level more as psychological support than a clear reversal signal.

Signs of seller fatigue have also appeared near this range. Large sell orders have decreased, and on-chain data shows fewer high-value transfers. When sellers step back, prices can stabilize even without strong demand. Thin liquidity during year-end trading has increased this effect, allowing smaller trades to influence price more easily.

Beyond technical signals, SHIB’s declining market cap reflects reduced attention. Meme tokens depend heavily on online interest and community-driven momentum, both of which have cooled for Shiba Inu over the past two years. Efforts to expand use through the Shibarium network have seen limited adoption, with few active applications and modest user growth.

Despite continued weakness, some analysts see a possible recovery if broader crypto market conditions improve. Shiba Inu remains one of the most recognizable digital assets, supported by a large community and strong branding. Whether that support can lead to lasting value will depend on renewed demand, increased usage, and a more stable market environment.