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As its most recent attempt at recovery falters, Shiba Inu is experiencing fresh exchange inflows, making the short-term setup for SHIB less favorable. The average inflow size increased by 0.48% to 1.15 billion SHIB, while exchange inflows increased by 0.65% to roughly 268.14 billion SHIB, according to on-chain data.
Shiba Inu is back at it
Over the course of the observed 24-hour period, approximately 468 billion SHIB moved into exchanges when combined with the most recent changes in exchange flow. Increased inflows are important because tokens that are moved to exchanges can be traded and possibly sold right away.
Inflows by themselves, however, do not indicate that holders plan to sell. Outflows continue to be significant and provide crucial context. The seven-day moving average of mean exchange outflows increased by 62.69% to approximately 734.49 million SHIB, while total exchange outflows increased by 1.77% to approximately 438.71 billion SHIB.
At the same time, exchange reserves dropped by 0.2% to 87.23 trillion SHIB. At about -170.57 billion SHIB, the resulting exchange netflow is still very negative. As a result, the increase in inflow does not yet indicate a clear net distribution. Despite a recent increase in deposits, more SHIB is still leaving exchanges than entering them. However, there has been less price action.
SHIB is currently down about 2% and is trading close to $0.00000515. More significantly, the token has broken below the short-term rising trendline that helped it recover from the low in August. Around $0.00000517, the price is currently testing the 20-day moving average.
Next key support
The next significant support cluster is formed by the 50-day average around $0.00000494 and the 100-day average around $0.00000504. Moreover, momentum has declined. The RSI has dropped to about 49.7, returning to neutral territory and below its signal average.
Recovering $0.00000540–$0.00000550 would repair a portion of the short-term structure for bulls. The 200-day moving average around $0.00000566 continues to be the biggest barrier.
Therefore, the 468 billion SHIB inflow figure merits consideration; however, the more comprehensive exchange data does not yet support significant selling. The more pressing issue is price: SHIB is currently testing whether its moving-average support can stop a deeper retracement after losing its rising trendline.
U.Today Editorial Team
Dan Burgin
