Answer: counterclockwise
Explanation:
As the area of the loop decreases steadily, the flux through the loop also decreases. By Lenz’s law, any induced current will tend to oppose the decrease. Using Flemming right hand rule (Fleming's right-hand rule which shows the direction of induced current) we know that magnetic field inside the loop due to a counterclockwise current comes out of the plane. Therefore a counterclockwise current will create a stronger magnetic field inside
the loop, tending to increase the flux.
When a wire loop is moved in the direction of the current or a wire loop is being pulled through a uniform magnetic field there would be no induced current ( current loop is said to be zero)
