Shiba Inu (SHIB) price traded around $0.0000149 on May 15, posting a drop of nearly 9% to a daily low near $0.0000144 on May 15. The pullback reflects broader weakness across the memecoin sector, with nearly every top meme token showing red candles in the daily frame.
Dogecoin (DOGE), the largest memecoin by market cap, slid over 3.2% in 24 hours. PEPE, which saw explosive gains earlier this week, dropped 2.17% during the same period.
The red wave suggests a growing disinterest in high-risk memecoin plays as traders rotate capital into more stable altcoins or retreat to Bitcoin (BTC), which has shown relative resilience after tapping $105,000. Futures data also shows waning open interest and a cooldown in funding rates across memecoins, hinting at a pause in speculative flows.
Memecoins often lead during euphoric phases but also suffer swift corrections when sentiment turns. The sharp short-term rallies earlier this month triggered profit-taking, and now the sector appears to be consolidating amid macroeconomic caution. U.S. inflation data expected this week could further impact trader positioning, particularly in riskier segments like SHIB and other meme assets.
Despite the drop, SHIB remains up over 7% week-to-date, holding above key support levels. However, if capital outflows persist, the token risks losing its short-term momentum like the rest of the memecoin cohort.
Bearish Pattern Emerges As SHIB Tests Wedge Resistance
The SHIB USD pair has formed a bearish technical setup called the rising wedge. Traders often associate the pattern with bearish reversals. Two converging trendlines sloping upwards define the pattern. Price trades within this narrowing channel until it breaks below the lower trendline, typically leading to sharp downside continuation.
The target for this setup is derived by measuring the wedge’s height at its widest part and applying that projection downward from the breakout point.
SHIB price attempted a breakout on May 12 but failed to clear resistance near 0.00001802, which coincides with the upper boundary of the wedge. The rejection confirms that bulls are struggling to build momentum above this level. The wedge remains intact for now, but the pressure is building near its lower trendline. A breakdown below this support would activate the bearish setup, possibly sending SHIB into a deeper correction.
Currently, the token is holding just above the 0.382 Fibonacci level at 0.00001413. This level also aligns with local price action support, making it a key pivot. Below that, the 0.236 Fibonacci zone near 0.00001272 would be the next downside checkpoint. If the wedge pattern plays out fully, the projected target falls near 0.00000837, which could mean a drop of over 44% from current levels.
On the upside, Shiba Inu bulls must reclaim the 0.618 Fibonacci level around 0.00001642 before attempting a breakout from the bearish wedge setup. Until then, the setup favors sellers. The daily RSI near 55 shows neither extreme overbought nor oversold conditions, leaving room for a decisive move in either direction. However, pattern structure and failure at resistance suggest the bears are regaining control.
Whale Activity Triggers Buzz, But The Memecoin Still Faces Pressure
Meanwhile, the Shiba Inu coin saw a notable surge in whale activity, sparking renewed excitement among retail traders. According to blockchain data, large-holding wallets have ramped up their accumulation, with one transaction alone moving over 612 billion SHIB.
Overall, whale-related activity jumped more than 280% in the past month. Fan accounts on X have amplified these developments, branding the moves as early signals of a breakout. Some even claim whales “know what’s coming next,” framing the activity as a bullish precursor.
However, while whale accumulation can suggest confidence, it often functions more as a sentiment indicator than a predictive signal. In the memecoin space, where price action is largely driven by hype, not fundamentals, these narratives tend to dominate the discourse. Traders frequently interpret large buys as signs of impending rallies, which can drive speculative inflows. That same enthusiasm, though, can quickly reverse if no follow-through emerges.
Memecoins like Shiba Inu thrive on volatility. Burn rate milestones and social media buzz regularly impact price performance. Yet the current macro environment shows fading interest in meme tokens overall, and the broader market remains in risk-off mode ahead of key U.S. economic data. The timing of whale purchases, while notable, does not guarantee upside, especially if retail fails to sustain the momentum.
In this context, the recent accumulation may reflect strategic positioning, or it could simply be another hype cycle. Either way, SHIB price remains vulnerable to downside if technical breakdowns play out, regardless of whale optimism.
