Woofun AI reports that SHIB has declined for four consecutive days, trading below $0.0000042 after failing to break a descending trendline established in mid-May. Although 148.7B SHIB were withdrawn from exchanges, reducing available selling supply, the token remains under pressure with the next key support near the yearly low of $0.0000040.

On-chain and derivatives data reflect weakening demand, with Santiment’s Social Dominance dropping sharply from its July 12 peak. The long-to-short ratio stands at 0.91, indicating bearish positioning, while funding rates remain negative at -0.0136%, signaling dominant short sentiment. Technical indicators reinforce this outlook, as the RSI approaches oversold territory at 31 and the MACD nears a bearish crossover.