Shiba Inu (SHIB) is at a critical juncture following a recent price drop that threatens to breach a significant support level of 65 trillion SHIB. This support zone has historically helped stabilize the token's value.

Over the past 24 hours, Shiba Inu's price has decreased by nearly 4%, reflecting a broader market downturn influenced by the latest U.S. inflation data. The announcement indicated that the core Personal Consumption Expenditures (PCE) price index remained at 2.8% year-over-year in April, aligning with expectations.

Additionally, the core PCE index fell to 0.2% in April, the lowest since December 2023. Amid these economic indicators, Bitcoin and other cryptocurrencies also experienced declines. At the time of writing, SHIB was trading at $0.0000255, down 3.46% in the last 24 hours.

According to data from IntoTheBlock, 65.53 trillion SHIB were acquired by 62,110 addresses in the price range of $0.000025 to $0.000027, with an average purchase price of $0.000026. The current price drop brings SHIB close to the lower end of this range, putting the key support level under significant pressure.

Market analysts are closely monitoring SHIB's price movement. Maintaining the price above the 65 trillion SHIB level is crucial for short-term stability. A rebound from this level could reaffirm its role as a strong support, potentially igniting a bullish trend. Conversely, if SHIB's price falls below this threshold, it could lead to a deeper correction, potentially targeting the $0.000019 range.

On-chain data indicates that Shiba Inu's next major support lies between $0.000019 and $0.000025, where 59 trillion SHIB were purchased by 111,420 addresses. If SHIB manages to hold and bounce back from the 65 trillion SHIB level, it might challenge key resistance levels at $0.000027 and $0.000030.

The crypto community remains watchful as Shiba Inu navigates this pivotal moment. The outcome could significantly impact the token's short-term trajectory and investor sentiment.