Shiba Inu (SHIB) showed resilience on December 26, 2025, despite sharp liquidation activity across the crypto market. The token traded near $0.00000721, posting a 2.12% daily gain, even as liquidations remained heavily skewed toward short positions.
Market data showed a large imbalance in liquidations, with short positions far exceeding longs. Despite this pressure, SHIB avoided a sharp sell-off and remained above a key support level.
Liquidations rise, but SHIB holds ground
Recent trading activity saw more than $10,500 in long positions liquidated, reflecting high leverage and thin holiday liquidity. Such conditions often lead to rapid price drops, but SHIB managed to stabilize and rebound quickly.
Analysts note that this behavior suggests traders are still willing to buy dips, even during volatile sessions. However, they also warn that sudden reversals remain possible.
Key support and resistance levels
SHIB is currently trading near an important support level at $0.00000721. Holding above this level could help stabilize price action in the short term.
A move below $0.00000700 may increase selling pressure, while resistance is forming slightly higher, where traders have recently taken profits. Both long and short traders remain cautious as price moves within a narrow range.
Overleveraged positions increase risk
High leverage continues to play a major role in SHIB’s price movements. During low-volume holiday trading, even small sell orders can trigger liquidations and sharp price swings.
Technical indicators show mixed signals. The Relative Strength Index (RSI) is near oversold territory, while short-term moving averages still suggest weak momentum. A drop below $0.00000678 could increase downside risk.
Holiday trading adds volatility
Low liquidity during the holiday period has increased volatility across the crypto market. Similar conditions in the past have led to fast declines followed by quick rebounds.
Traders are closely watching for signs of a trend change as the year comes to an end. Sudden moves remain likely until normal trading volumes return.
Outlook
Shiba Inu’s recent performance highlights both risk and resilience. While liquidation pressure and leverage create downside threats, the token has so far avoided a deeper breakdown.
Market participants remain focused on key price levels and broader market sentiment as SHIB enters the final days of 2025.
Disclaimer: This article is for news and informational purposes only and does not constitute financial advice. Cryptocurrency prices are volatile. Always do your own research before investing.
