Shiba Inu has seen a substantial spike in on-chain activity, with more than 665 billion $SHIB becoming active within the last 24 hours. While the raw figure is impressive, the underlying data paints a more nuanced picture of what is happening behind the scenes. According to the latest metrics, exchange inflows surged by 2.47% over the last day, reaching approximately 628.8 billion $SHIB.
Inflows from the biggest transactions rose by 2.38% at the same time that the average inflow size increased by 2.74%. These numbers show that the activity of larger holders, commonly known as whales, has increased dramatically. Exchange netflow remains slightly negative at -2.56 billion $SHIB, suggesting that outflows are still marginally exceeding inflows.
$SHIB/USDT Chart by TradingView
The exchange reserve is still declining and is currently close to 87 trillion $SHIB. Because fewer tokens are still easily accessible for purchase on exchanges, declining reserves are typically viewed favorably. Nonetheless, it is impossible to overlook the recent rise in deposits. Historically, when investors transfer funds into trading venues, significant spikes in exchange inflows frequently precede times of high volatility.
More challenges for $SHIB
Whether those tokens are ultimately sold depends on broader market sentiment. From a technical standpoint, $SHIB continues to face challenges. The asset has been declining steadily for months and is currently trading at about $0.0000043. It remains below all major moving averages, including the 50-day, 100-day, and 200-day trends, confirming that the broader bearish structure remains intact.
The RSI is trying to establish a short-term bottom after rising out of oversold territory. However, buyers continue to encounter strong resistance around $0.0000046 and then in the vicinity of $0.0000050-$0.0000055, where prior support levels have become resistance. Despite the protracted downturn, the rise in active addresses and withdrawal addresses indicates that network users have not given up on $SHIB.
Perhaps the most positive feature of the latest data is that the activation of 665 billion $SHIB is more a sign that significant market players are repositioning than a sign of an impending breakout. Whether that activity results in accumulation and recovery or just more selling pressure in an already fragile market will be determined over the coming days.