Shiba Inu, trading around $0.00000503, has seen limited on-chain token withdrawals despite its wide investor base. The latest data indicates 538 withdrawal transactions, a number considered low for such a popularly held asset.
Dominant Exchange Inflows Highlight Concerns
Despite having more withdrawal transactions than deposits, the crux of Shiba Inu’s situation hinges on the sheer volume moved. Exchanges recorded an influx of 247.06 billion SHIB against outflows of 183.58 billion SHIB, marking a net increase of 63.49 billion SHIB.
This trend suggests a greater influx into exchanges than withdrawals, a situation typically viewed negatively by the markets since assets held on exchanges can be sold off rapidly. Although net flows dipped by 5.42% over the last 24 hours, indicating slight relief from pressure, a decisive shift towards buyers is yet to manifest.
Exchanges saw 247.06 billion SHIB inflows with 183.58 billion SHIB outflows, resulting in a 63.49 billion SHIB net influx.
Caution Prevails as Exchange Reserves Rise
Exchange reserves of SHIB climbed to 87.11 trillion, with daily growth limited to 0.07%. This increase underscores an apparent reluctance among holders to move their assets to private wallets.
Typically, long-term holders withdraw tokens when anticipating higher prices. Current data, however, suggests that this behavior is not yet prevalent. Shiba Inu, developed on the Ethereum network, is primarily recognized for its community-driven presence as a meme coin.
Weak Recovery Signals in Price Movement
On the charts, Shiba Inu’s price displays a similar narrative. After pulling back from $0.00000600 at the start of October, it stabilized around $0.00000480. Although a modest recovery candle formed subsequently, the momentum behind this movement remains weak.
Low trading volumes and an RSI hovering near 40 suggest that selling pressure continues to dominate the market landscape.
For a sustained recovery, stronger withdrawals from exchanges and increased volumes on rising days are necessary for SHIB.
Persistent Pressure Near Key Levels
The first significant resistance level in upward movements is at approximately $0.00000526. Beyond this, $0.00000534 and then $0.00000560 are monitored. For the price to exhibit a stronger outlook, these thresholds must be breached.
Meanwhile, the $0.00000480 area remains a crucial short-term support. Failing to hold this region may lead to a further decline towards $0.00000460.
