Shiba Inu (SHIB) is under significant market pressure as its price continues to decline. Over the past 24 hours, SHIB has dropped by 10.31%, reflecting increased selling pressure. The cryptocurrency started at $0.00001466 but gradually trended downward, reaching $0.00001314. The downward movement shows lower highs and lower lows, indicating a clear bearish trend. With SHIB near critical support levels, its ability to hold these levels will determine whether a recovery is possible or further losses are ahead. Key SHIB Support and Resistance Levels to Watch Currently, SHIB is testing critical support levels that could influence its short-term price action. The immediate support at $0.00001300 serves as a psychological barrier, and a break below this level could trigger additional selling. The next support at $0.00001280 may attract buyers, while $0.00001250 remains a stronger historical level that could prevent a deeper decline. If SHIB fails to hold these levels, further downside is likely. SHIB Resistance Levels and Potential Reversal Source: CoinMarketCap On the resistance side, SHIB needs to reclaim $0.00001350 to indicate a potential rebound. A break above $0.00001400 could lead to increased bullish momentum. Additionally, surpassing the prior high of $0.00001466 would confirm a trend reversal, setting up an upward move. However, SHIB must first regain buying interest before challenging these resistance levels. Related: Meme Coin Meltdown? Shiba Inu Hints at Market Turnaround Market Indicators: RSI, MACD, and Trading Volume Trading volume has risen by 12.11%, suggesting strong market participation. While this could indicate renewed interest, the bearish sentiment remains dominant. SHIB/USD daily price chart, Source: TradingView The Relative Strength Index (RSI) currently stands at 32.36, the oversold threshold of 30. This suggests that selling pressure is high, but a potential reversal may occur if buying volume increases. Additionally, the Moving Average Convergence Divergence (MACD) is showing negative momentum, with the MACD line below the signal line. This suggests that unless SHIB finds support soon, further declines may be expected. Related: Shiba Inu Price Falters as Whale Transactions Plummet 79% SEC’s Stance on Meme Coins: Not Securities The U.S. Securities and Exchange Commission (SEC) clarified its stance on meme coins like Shiba Inu, Dogecoin, Official Trump, and Official Melania. The regulator stated that these assets are not classified as securities under federal law. 🚨NEW: The @SECGov Division of Corporation Finance has just put out guidance on memecoins saying they are NOT securities and are akin to collectibles. “It is the Division’s view that transactions in the types of meme coins described in this statement, do not involve the offer… — Eleanor Terrett (@EleanorTerrett) February 27, 2025 Instead, it categorized them as collectibles due to their speculative nature. The SEC emphasized that meme coins lack inherent utility and derive their value from social engagement and market demand rather than investment principles. Howey Test and Meme Coin Regulation Furthermore, the commission highlighted that meme coins fail the Howey Test, which determines whether an asset qualifies as a security. Since meme coin buyers do not invest in a centralized enterprise expecting profits, these assets fall outside the scope of federal securities regulations. But, while transactions involving these coins do not require registration, fraudulent activities related to their sale remain subject to enforcement actions by regulatory agencies. Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.