Shiba Inu, a popular meme coin, has recently experienced a 4% price increase in the last 24 hours, reflecting the positive movement in the broader crypto market. However, the price rally may be short-lived as bearish sentiment continues to overshadow the meme coin. On-chain and technical indicators suggest that the Shiba Inu price rally could reverse its trend once the general market’s bullish pressure weakens. Investors are observing net outflows from SHIB’s spot market, indicating that selling pressure is mounting as holders opt to sell their holdings. This trend has been consistent over the past few days, with a total of $13 million withdrawn from the SHIB spot market.
When an asset experiences net outflows from its spot market, it indicates that more of the asset is being sold or withdrawn than bought or deposited. This signals reduced demand or a lack of confidence among investors, leading to downward price pressure. BeInCrypto’s assessment of SHIB’s on-chain performance has confirmed a decline in its holding time over the past week, dropping by 48% in the last seven days. A decrease in an asset’s holding time reflects increased selling pressure among market participants, contributing to the bearish sentiment toward the asset.
Currently trading at $0.000022, SHIB is holding above support at $0.000021. However, as bearish pressure intensifies, SHIB could experience a drawdown to this support level. If the bulls fail to defend it, the downtrend could gain momentum, driving SHIB’s price down to $0.000019. On the other hand, if market sentiment turns positive, the Shiba Inu price rally could continue towards $0.000026. It is essential to note that this information is for informational purposes only and should not be considered financial or investment advice. Always conduct your research and consult with professionals before making any financial decisions.
