- Shiba Inu experiences massive outflows, signaling possible whale accumulation activity.
- SHIB’s price struggles, but whale activity hints at potential rebound.
- Exchange reserves drop, signaling long-term accumulation amidst price uncertainty.
According to recent on-chain data, Shiba Inu (SHIB) has witnessed a remarkable 200.6 billion SHIB outflow from exchanges in just a single day. This considerable shift in tokens typically signals accumulation by large investors or whales, often moving assets to cold storage to shield them from short-term volatility. Despite this large-scale accumulation, SHIB’s price has been hovering near critical support levels, with the asset recently dipping to around $0.00001207.
As SHIB navigates through a prolonged period of consolidation within a symmetrical triangle formation on its daily chart, the cryptocurrency is facing a delicate moment. For much of 2025, SHIB has remained under the pressure of key moving averages, including the 50-day and 200-day lines, which have acted as overhead resistance. This technical weakness has raised concerns about the possibility of further declines in the token’s price if selling pressure returns.
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Diverging Metrics Amid Continued Accumulation
Although SHIB’s price action suggests potential for further downward movement, data reveals a growing divergence between market behavior and network activity. Exchange reserves have decreased by 0- 25%, dropping to between 85 and 68 trillion SHIB, indicating a reduction in the amount of SHIB held on exchanges. This reduction in exchange reserves often points to long-term accumulation, as whales and institutional players seek to remove liquidity from the market.
User activity, however, has not slowed down, with active addresses increasing by 11% during this same period. Furthermore, while large outflows have outweighed the inflows into the top 10 exchange transactions, with the inflows totaling 11.4 billion SHIB, the rise in transaction counts indicates that the network remains in use.
Accumulation or Defensive Positioning?
Despite the bearish price trends, the sheer scale of the outflows suggests a strategic move by large investors. Such significant transactions could potentially reduce sell-side liquidity, setting the stage for a long-term price reversal. However, the market is still in a state of uncertainty, torn between the accumulation signals from whales and the weak price structure that could lead to further volatility.
As SHIB struggles at crucial technical levels, the market awaits clarity on whether these accumulation patterns represent a defensive stance against further price declines or if they signal a setup for a future rally. With exchange reserves continuing to dwindle, SHIB may be at the crossroads of either an eventual recovery or a prolonged period of instability.
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