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Due to the sharp increase in exchange inflows over the last three days, Shiba Inu (SHIB) is currently under renewed selling pressure. According to on-chain data, almost 157 billion SHIB tokens have made their way onto exchanges, which raises the possibility that many holders are getting ready to sell their holdings. Since greater inflows usually result in more sell-side pressure, this type of activity frequently precedes downside volatility.
Shiba Inu moves up
According to exchange metrics, total net inflows increased by 79.8 billion SHIB (+0.52%), with exchange outflows trailing at 546 billion SHIB (+1.13%) and exchange inflows leaping nearly 1% to 626 billion SHIB. Bearish signals are given more weight because of the imbalance between inflows and outflows, which indicates that more tokens are being sent to centralized exchanges than withdrawn.
At the same time, the exchange reserve continued to rise steadily, reaching 86.08 trillion SHIB, indicating that there was more supply available for immediate sale. In contrast, the USD value of exchange reserves dropped -1 point, reflecting the recent decline in price as SHIB returned to the $0.000013 level.
These fundamentals are supported by price action. With strong resistance overhead near $0.000014 (200 EMA + trendline), and support near $0.0000124, SHIB is still trapped inside a tightening symmetrical triangle on the daily chart. The likelihood of a breakdown, if inflows keep rising, is increased by recent candles' repeated rejections from the upper boundary.
Address data in red
Moreover, the active address data is flashing red. The real spike came from active sending addresses (+1.04%), even though active addresses increased by 1%. This suggests that more holders are looking to offload tokens rather than accumulate.
Given this degree of exchange-driven selling, the next target in the short term, if SHIB breaks the $0.000013 support, might be $0.000012 or lower. On the other hand, the bearish case would only be refuted by a breakout above $0.000014, which would allow for a retest of $0.000015-$0.000016.
The evidence currently points to bearish forces outweighing bullish hopes, so while exchange flows normalize or turn bullish, we should not really expect a full-blown SHIB rally.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team