Shiba Inu is a cryptocurrency that has been in the spotlight for its fast rise on the market. Right now, though, some important signals are red, which might mean that the price of SHIB will reverse downward. Keep in mind, various on-chain metrics can change at any given moment. All the metrics mentioned in this article were relevant at the time of the writing.
First, "Net Network Growth" has dropped by 0.52%. This number tells us if more people are joining to use SHIB or if they are leaving. Right now, it seems like fewer people are interested and the network is mostly seeing outflows.
Secondly, there is the "In the Money" figure, which is at -0.64%. The metric speaks for itself: investors are losing money holding SHIB, which makes it less attractive as a longer-term investment.
The "Concentration" metric is also down by 0.11%. This suggests that SHIB is not as much in the hands of just a few big holders (called whales) as it was before. Changes in how much the whales control can affect SHIB's price because they have a lot of power on the market.
Another crucial red flag is the "Large Transactions" metric, showing a steep decrease of 11.69%. Large transactions often represent the activity of whales, and a drop may suggest that the interest of these significant players is descending.
The fifth metric is the imbalance between buy and sell orders, with sell orders taking up more market share. This overextension of sales orders can exert downward pressure on SHIB's price, leading to a bearish outlook.
SHIB is currently trading at approximately $0.00002773. The support level to watch is near the blue line (50 EMA), around $0.00002256, which could serve as a safety net if prices drop. The next resistance level is most likely the $0.00003 threshold, which serves as a psychological level for the asset's holders.