Shiba Inu Team Breaks Silence on Crypto Crash: 'Outcome No One Predicted'

The crypto market is broadly trading in red on Wednesday with $1.7 billion in liquidations in the past 24 hours, according to CoinGlass. Long traders accounted for the majority of losses at $1.3 billion.

Bitcoin fell below $100,000 for the first time in more than four months, reflecting a reversal similar to declines in high-flying tech stocks this week. Shiba Inu also dropped, hitting a low of $0.00000837 on Tuesday—levels last seen in January this year—following a three-day slide from the November 2 high of $0.00001074.

The turning point occurred in October, when a massive wave of liquidations wiped out billions in bullish positions. Since then, traders have largely stayed on the sidelines. Crypto prices have remained mostly stagnant, with October’s historically strong seasonality failing to materialize this year.

One of the recent catalysts for the sell-off was the Federal Reserve's surprise hawkishness last week. Chair Jerome Powell and other Fed officials cooled expectations of another interest rate cut in December, further fueling market uncertainty and selling pressure.

At press time, Shiba Inu was down 2.68% in the last 24 hours to $0.00000889, adding an extra zero to its price tag amid the crypto market drop.

Key Shiba team member Lucie commented on the situation on Twitter, saying: “No one predicted this outcome. I’m proud of those who stayed strong and kept pushing forward.” Lucie emphasized the importance of maintaining a positive mindset, even during market downturns: “Thank you for showing the ones who weren’t as mentally prepared that even in this kind of bloodshed, a positive mindset is the only way to move.”

The recent market drop has ignited fears of another so-called crypto winter, a prolonged bear market for cryptocurrencies. While it may be too early to draw firm conclusions, the current trend appears to be net negative, signaling a potential pause in the crypto sector's momentum.