Key Highlights
- A large amount of Shiba Inu tokens is being sent to exchanges, a little over 200 billion. This usually means traders are getting ready to sell.
- Even though more users are active on the network, the price is not going up. SHIB is still stuck below important levels.
- As more tokens stay on exchanges, it becomes easier to sell. This can push the price down if buyers don’t step in.
Shiba Inu (SHIB) is getting close to a major threshold on its blockchain as tokens flowing into exchanges have increased in a short period.
According to data from Cryptoquant, exchange reserves have reached 200 billion SHIB in inflow within a short period. This means more people are sending their tokens to trading platforms, and they are likely to sell or reposition their holdings rather than store them in private wallets.
Even though the increase looks small in percentage, it matters a lot because Shiba Inu has a very large total supply. Current exchange reserves are about 80.74 trillion SHIB. Even small changes can have an impact on the market because of how big the total supply is.
At the same time, network activity is giving a different view. Active addresses increased slightly in the last 24 hours, by just over 1%, which suggests that user engagement is steady, but this has yet to cause any significant price surge.
SHIB struggles to break key resistance level
At the time of this writing, SHIB is trading around $0.000005603, down a modest 0.97% in over 24 hours. Its trading volume has dropped by 26%, leading to $124 million in volume.
Meanwhile, the current price action on the daily chart shows that SHIB is struggling. The token is below the key resistance level at $0.000006403, which acts as a barrier. Multiple attempts to break above this level have been unsuccessful as the price keeps falling, pushing it into a consolidating phase.
The last attempt was on March 16, which pushed down a single candle halfway, leading to a short-term downtrend to the support level at $0.0000056.
In short, this trend shows distribution, not accumulation. At the same time, the Relative Strength Index (RSI) is at 55, which suggests that the market is almost neutral and both buyers and sellers are cautious of the market.
If the number of tokens on exchanges keeps increasing and demand does not rise, it could push the price down, possibly to the next support level at $0.0000052.
Also Read: XRP Holds $1.40: What’s Next As Pressure Keeps Price Below $1.90
