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Over the past day, Shiba Inu has seen a significant change in investor behavior, as evidenced by on-chain data showing a 2.6 billion SHIB outflow from exchanges. Bulk token withdrawals from exchanges have historically lessened the pressure to sell right away and indicated that holders were transferring funds to private wallets for long-term holding or other purposes.
Shiba Inu launch
SHIB's price chart shows that it is currently consolidating after rising from the $0.0000120-$0.0000125 support region, trading at about $0.0000133. A clear breakout above short-term moving averages is evident in the price action, and SHIB recently crossed the 50-day EMA, which frequently serves as a launchpad for upward momentum.
The asset is still not overbought and has the potential to rise, as indicated by the Relative Strength Index (RSI), which is neutral at about 59. The bullish trend is further reinforced by on-chain indicators. Although there was a slight increase in exchange netflow indicating some inflows, the decline in exchange reserves — which are still stable at 85 and 8 trillion SHIB — is the crucial factor.
SHIB flows away
Large outflows coupled with a declining reserve usually reduce the number of coins available for spot selling, reducing the risk of a decline. In the past day, the number of transactions has increased by 1.22%, indicating a resurgence of network activity. The 2.5 billion SHIB exchange outflow from the top 10 tracked wallets supports the idea on the market that whales might be shifting their holdings in anticipation of future price increases. Exchanges may encounter a supply shortage for SHIB if outflows persist and inflows are slow, which would accelerate price increases.
This arrangement indicates to investors that SHIB may try a second retest of the $0.0000140-$0.0000150 resistance zone soon. But vigilance is still needed. Reversals of these outflow patterns, particularly abrupt exchange inflows, would probably signal a resurgence of selling pressure. In conclusion, the 2.6 billion SHIB outflow points to a positive short-term signal for Shiba Inu supporting its recovery trend and indicating that long-term holders and whales are getting ready for possible gains. In order to determine whether this move initiates a long-lasting rally, the coming days will be critical.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team