You can also read this news on BH NEWS: Shiba Inu Faces Pressure as Exchange Holdings Rise Despite Price Recovery Shiba Inu (SHIB) experienced a minimal price recovery as it traded at $0.0000
You can also read this news on BH NEWS: Shiba Inu Faces Pressure as Exchange Holdings Rise Despite Price Recovery
Shiba Inu (SHIB) experienced a minimal price recovery as it traded at $0.00000510 after rebounding from a low of $0.00000493. Despite climbing back above the $0.000005 threshold, the increase in SHIB tokens transferred to exchanges raised concerns about the sustainability of this uptick.
Recent exchange data indicates an expansion in market supply. SHIB reserves across exchanges rose by 0.06% over the past 24 hours, reaching 87.2364 trillion tokens. This equates to a total value of $441.4 million, marking a daily increase of 0.86%.
During the same period, the total SHIB inflow to exchanges was 256.4373 billion, while outflows amounted to 202.6345 billion. Consequently, there was a net inflow of 53.8027 billion SHIB, leading to a daily growth rate of 3.69%. The influx of tokens to exchanges is closely monitored due to the potential for immediate selling.
“The amount of SHIB entering exchanges exceeding those leaving keeps the risk of selling pressure present even if the price rebounds.”
Investors moving tokens to exchanges might be preparing to take profits or limit losses. Elevated exchange balances, especially when prices are below critical levels, often signal increased downward pressure.
Amid the challenging scenario, not all on-chain indicators show weakness. Transaction numbers rose by 0.98% to 4.634 million, and active addresses also grew by 1%. Although these metrics suggest ongoing network usage, they do not indicate a significant uptick in new demand.
The supply burned stood at 1.8828 million SHIB. Despite a one-off noticeable burn increase over a seven-day period, this amount is insufficient to alter the overall supply landscape significantly.
On the daily chart, SHIB remains below crucial moving averages. The 100-day average is around $0.00000525, while the 200-day average hovers near $0.00000558. These levels form a resistance zone above the current price.
“For buyers to strengthen the recovery, SHIB needs to close above $0.00000525 daily.”
The Relative Strength Index (RSI) fluctuates between 40 and 45, indicating weak momentum without reaching the oversold zone. Recent declines in trading volume further suggest that the price recovery lacks robust buying support.
A narrow support band between $0.00000480 and $0.00000493 has remained intact during recent sessions. Should the price fall below this range, the $0.00000450 level could re-emerge as a target. In the short term, the market’s focus remains on whether the large SHIB inflow to exchanges will translate into selling activity.
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