Shiba Inu exchange inflows hit 168 billion SHIB as resistance nears

Exchange activity and technical signals

The mean exchange inflow during this period was around 733.61 million SHIB, while the inflow activity climbed by 0.83%. Notably, the ten largest deposits alone accounted for about 3.53 billion SHIB tokens. Placing tokens on trading platforms typically increases the possibility of sales, as these tokens become readily available on the open market.

Despite the surge in inflows, current activity has not yet confirmed a large-scale distribution event among holders. Shiba Inu has rallied from its previous range of $0.0000044 to $0.0000045 and is now trading close to $0.00000552, placing it just beneath a long-standing resistance zone.

Key moving averages and resistance zones

SHIB has managed to reclaim its 50-day moving average near $0.00000515 and the 100-day moving average around $0.00000503, providing some technical support for continued upward movement. However, the 200-day moving average, a critical indicator for longer-term trends, now sits just above the current price at roughly $0.00000568.

The cryptocurrency failed to sustain gains made during a late-August rally, which briefly pushed its price near $0.0000059. This inability to hold higher ground has kept recent attempts to break through resistance in check.

Momentum and risk factors

Momentum indicators currently favor further upside potential for SHIB. The token remains in bullish territory without entering overbought conditions, with the daily Relative Strength Index (RSI) around 60, slightly above its moving average of 56. However, caution prevails amid notable exchange data.

During the same 24-hour span, total outflows from exchanges surpassed inflows, reaching approximately 208.98 billion SHIB. This has resulted in a netflow of negative 26.64 billion SHIB and a slight reduction in exchange reserves by 0.03%. The negative netflow suggests that despite significant inflows, more tokens are leaving exchanges than entering them, undercutting fears of imminent heavy selling.

Technical traders are closely watching the $0.00000568 level. A sustained breakout above the 200-day moving average could trigger a move toward the former resistance range of $0.0000059 to $0.0000062. Conversely, a failure to break this level, especially with increasing exchange inflows, might push the price downward toward $0.00000515 and $0.00000503.

Shiba Inu, known for its community-driven development, has rapidly gained popularity as a meme-inspired digital asset. The token’s price movements are often influenced by technical levels and shifts in exchange activity, making these recent developments closely watched among traders.