Exchange-flow data and the daily price structure are beginning to stabilize following another turbulent week, suggesting that Shiba Inu’s most recent wave of selling pressure may be waning.
Netflows change direction
Exchange inflows are 465,652 billion SHIB, up 2.46% over the last day, according to the most recent on-chain snapshot. With outflows totaling 350,424 billion SHIB, there is a positive netflow of about 115,228 billion SHIB.
In the meantime, the average exchange inflow has risen to roughly 1,132 billion SHIB per transaction. Since tokens deposited on trading platforms are easily sold, moving hundreds of billions of SHIB onto exchanges would typically call for caution.
The key aspect of the current situation, though, is that SHIB’s price no longer reacts to these flows with the same level of weakness.
According to the daily chart, SHIB briefly dropped below $0.00000480 before rising to about $0.00000537. There was a significant lower wick after that drop was forcefully bought.
Shiba Inu rises above
Since then, SHIB has risen above the group of shorter-term moving averages at $0.00000500–$0.00000520. Although a bullish reversal has not yet been established, this may be a sign of seller fatigue.
SHIB was supported temporarily by bears, but the breakdown was not sustained. The marginal effect of further selling may be diminishing when a market absorbs high exchange inflows without going lower.
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There are additional stabilization indicators. The total number of tokens transferred rose by 1.09% to roughly 3.006 trillion SHIB, while the number of transactions increased by 0.96 percent and the number of transfers increased by 1.03%. As a result, network activity does not decline in tandem with the recent price weakness.
Rather than being overtly bullish, the setup is currently getting better. Although there are still significant exchange inflows, bears have consistently failed to turn that possible supply into a sustained breakdown.
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