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Shiba Inu is currently in a very uncomfortable situation, and the price chart is not the only issue. The actual threat comes from exchange activity; as SHIB recently experienced a huge inflow spike, roughly 90 billion tokens were transferred to exchanges in a brief period of time. That is not a harmless reorganization given the state of the market. In other words, there is enough fuel on the bearish side to keep on pushing SHIB further down, Cryptoquant data shows.
Growth erased
The picture painted by the netflow data is quite clear. Yesterday’s inflow outweighs the mild outflows and neutral movement that occurred over the previous few days. The price was driven into yet another steep decline by a single +137 billion net inflow print that effectively erased the previous accumulation.
That is not the whole story. The latest 24-hour reading is currently at +77.9 billion SHIB, indicating that more selling fuel is entering the system rather than being removed. Because SHIB is not working in a vacuum, this is important. The market as a whole is under a lot of strain: Ethereum is losing important support levels, Bitcoin is bleeding out toward deeper liquidity pockets and the sector’s overall risk appetite is collapsing.
SHIB bomb
Tens of billions of SHIB sitting on exchanges are an active bomb waiting to go off in that setting, not a passive threat. The problem is technically confirmed by the chart. The minor support in the 0.0000083-0.0000085 range was not maintained by SHIB. Red candles caused volumes to spike, indicating that sellers are in complete control.
Even though RSI is scraping oversold levels, a trend cannot be stopped on its own. If supply continues to hit the books, prices can continue to decline for days and inflow data suggests that supply is precisely what is coming in.
The harsh reality is straightforward: in this market environment, 90 billion SHIB on exchanges is a liquidation threat rather than neutral. Holders may be underestimating the pressure building beneath the surface if they anticipate a swift rebound. The next few sessions will continue to be difficult unless inflows drastically reverse and sales stop. Before any recovery can even begin, Shiba Inu requires stabilization, outflows and decreased volatility. On every front, it is currently facing the opposite.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team