Shiba Inu is beginning to flash bearish signals after its recent price rally began to slow, causing its price to stall around the $0.0000052 mark.
Although the price is still trading near its recent high, it has briefly moved into the red zone as selling pressure begins to mount, per recent data showcased by crypto analytics platform CryptoQuant.
Are SHIB holders taking profit?
Notably, the data shows a modest increase in the Shiba Inu exchange netflow, with the metric currently sitting at around 261,705,600,000 SHIB as of Friday, August 28.
While the metric is used to indicate the difference between the amount of tokens flowing in and out of all supported Shiba Inu trading platforms, a positive value in the market could indicate rising sell pressure.
This shows that activity across the Shiba Inu exchanges has been bearish, as the amount of tokens moved to exchanges for selling purposes is greater than the amount of tokens moved out of exchanges by over 261 billion tokens.
This could imply that investors are taking profits following the recent price rally, providing a bearish outlook for the leading meme token, as it suggests that the amount of tokens available for sale has increased over the last 24 hours.
Shiba Inu risks losing $0.000005
Following the bearish exchange activity, Shiba Inu has slowed from its recent price rally and is currently trading in the red territory, showing a price decrease of about 3% over the last day.
While it is currently trading around $0.0000052, analysts fear that the asset could lose the major $0.000005 price level soon if momentum does not return and traders continue to sell.
U.Today Editorial Team
Dan Burgin
