On-chain data and recent flows from futures markets indicate a reduced risk appetite in the Shiba Inu (SHIB) market. After spending most of the year struggling to stage a lasting recovery, SHIB is once again under heavy selling pressure, fueled by the latest data.
Exchange outflows highlight capital shift
According to recent exchange flow statistics, while roughly 347 billion SHIB moved onto exchanges in the same period, about 457 billion SHIB were withdrawn, resulting in a net outflow of approximately 110 billion tokens. This trend shows capital is moving away from trading platforms.
Significant outflows from exchanges are often interpreted as investors moving assets to personal wallets, which can be seen as a positive signal. However, current SHIB price movements do not independently support this view.
Typically, when investors shift assets to self-custody, it is viewed as a constructive sign. Yet in SHIB’s case, broader indicators suggest a more cautious outlook. The price continues to trade below all key moving averages, especially after breaking beneath the lower band of its prolonged sideways range.
Technical indicators remain weak
The Relative Strength Index (RSI) dropped to 24, signaling that SHIB is nearing oversold territory. In the past 24 hours alone, SHIB lost more than 8% of its value. The technical picture remains negative, with persistent lower highs and lower lows, as the price slipped under the critical $0.0000050 support level.
Quick glossary: The RSI is a momentum indicator measuring the speed and strength of price movement. Values below 30 are seen as oversold, while readings above 70 suggest overbought conditions.
Unless this scenario changes, sellers are expected to maintain control of the market. The analysis emphasizes that regaining major moving averages and establishing stability above old support zones will be critical for any short-term improvements.
Outflows seen in futures and spot markets
Data from the derivatives market also points to a cautious environment. Net flows in futures trading fell by over 140%, with a 24-hour net outflow of about $2.38 million. Outflows remained negative over the past three days, suggesting that leveraged traders are reducing risks instead of betting on a turnaround.
Spot market data shows outflows of nearly $826,000 in the last 24 hours and over $2.2 million in the past three days, reflecting that selling pressure is outpacing buying demand.
Spot market trends reinforce this picture. Persistent net outflows across timeframes show that downward pressure dominates, as both price movement and trading activity in derivatives and spot markets together point to continued bearish sentiment for SHIB.
Extreme pessimism could spark a rebound
Still, periods of heightened pessimism in the market can lead to sharp, short-term rebounds. With momentum indicators moving toward oversold territory, investors are encouraged to monitor for any signs of stabilization. For now, however, available data suggest that weakness prevails in SHIB trading.
