Here’s why Shiba Inu’s imbalance zone is in focus after price falls by 11%

Shiba Inu’s momentum finally lost some steam after one of the strongest rallies among large-cap memecoins. In fact, SHIB fell by almost 11% in the last 24 hours as traders took some profit off the table after the breakout earlier this week. This move came after SHIB briefly took the mantle as leader of the recent memecoin rotation, drawing in new speculative money. Hence, the question – What would be a good time for bulls to re-enter the market? An unfinished price gap is back in focus Shiba Inu’s explosive move over the last 3 days left behind a big unfilled gap. The latest correction has brought the old technical zone back into play. At the time of writing, SHIB’s price action was moving towards the imbalance zone between $0.0000042 and $0.00000485. This is a key zone zone that could trigger buyers to add more positions as they aim to maximize on the prevailing bullish trend.  Especially given that the memecoin has been trading above both its 20-day and 50-day EMAs on the daily chart. In most cases, the markets often revisits these inefficiencies before deciding on their next direction. While such gaps are not always filled, they frequently attract liquidity during corrective phases. Momentum indicators have been reflecting the recent slowdown too. For instance, the Stochastic RSI appeared to be retreating from an oversold region (Above 80), consistent with the anticipated short-term sell-off. The midpoint of the imbalance zone at $0.00000456 could be the next target in line. Shiba Inu’s on-chain metrics affirm the bearish technicals Here, it’s worth pointing out that the pullback is not just about technicals. SHIB’s token burn activity dropped sharply over the last 24 hours. In doing so, it eliminated one of the supply-side factors that supported the last bull run. On the other hand, the derivatives sector saw a wave of unwinds. More than $2.1 million worth of long positions were forced out of the market following the last correction. This indicated that longs with leverage had started leaving the market. In fact, this liquidation wave made some of the excess positioning from the prior uptick fade away. As it stands, it could be that the market is simply resetting, rather than reversing. If bulls manage to defend the imbalance zone, SHIB could stabilize and prolong its prevailing bullish trend. Final Summary SHIB loost 11% of its value, with more than $2.1 million in long positions liquidated . A fall in token burns could increase the chances of an anticipated correction move towards the $0.0000042–$0.00000485 imbalance zone.