Shiba Inu, the widely held meme coin, is showing renewed bearish signals after a period of upward momentum appeared to stall, with its value hovering close to $0.0000052 in recent trading.
Bearish pressure builds after rally
Recent data from CryptoQuant, a major digital asset analytics provider, indicates that Shiba Inu has faced increased selling pressure over the past day. The token briefly slipped into negative territory, reflecting a shift in market sentiment as sellers begin to outweigh buyers.
CryptoQuant reported a noticeable rise in Shiba Inu’s exchange netflow, which tracks the net amount of tokens moving into exchanges compared to those withdrawn. On Friday, August 28, this metric stood at approximately 261.7 billion SHIB.
The rising exchange netflow shows that a higher amount of SHIB tokens is being transferred into trading platforms than being withdrawn, suggesting that more holders are preparing to sell.
A positive exchange netflow indicates that more SHIB is being deposited onto exchanges—typically an indicator of potential sell pressure or investor intent to offload assets at current price levels. When inflows consistently exceed outflows, it often signals that traders are looking to take profits or reduce risk.
As a result, activity across major Shiba Inu exchanges has turned bearish, with tokens sent to exchanges for potential selling surpassing withdrawals by over 261 billion SHIB in the latest daily reading.
This trend suggests that a significant number of investors may be capitalizing on recent gains by selling their holdings, contributing to the current downward pressure on Shiba Inu’s price.
Price action and key support level
Shiba Inu’s recent rally has slowed, and the asset has now recorded a price drop of roughly 3% over the previous 24 hours. The coin remains near the $0.0000052 level, but this support appears increasingly vulnerable as sell pressure intensifies.
Analysts warn that if the current trend continues and bullish momentum fails to return, Shiba Inu could soon lose its grip on the $0.000005 support. Such a move may indicate further downside risk for the leading meme coin.
Market observers note that with the ongoing selling activity, the chance of holding above the key $0.000005 threshold is diminishing unless buyers step in soon.
Shiba Inu is an Ethereum-based meme token that has gained widespread popularity since its launch, often attracting short-term speculative trading. Its price is highly sensitive to shifts in investor sentiment, especially during periods of increased on-chain activity.
CryptoQuant, the firm providing the exchange netflow data, is recognized for its real-time analytics and insights into digital asset flows, helping traders assess market trends and potential inflection points.
Mini dictionary: Exchange netflow, a metric used in cryptocurrency markets to measure the net amount of tokens moving into and out of trading platforms. A positive value often signals increased sell activity, while a negative value may indicate accumulation or withdrawals to private wallets.
| Date | Exchange netflow (SHIB) | Price | Change (24h) |
|---|---|---|---|
| August 28 | +261,705,600,000 | $0.0000052 | -3% |
