- Flow slowing down
- Downtrend goes nowhere
Both price action and on-chain activity seem to be entering a stagnant phase for Shiba Inu. The most recent data shows that SHIB’s exchange netflow is approximately 73.5 billion tokens, with only a -0.31% change. This effectively indicates a flatline in the flow of tokens between wallets and exchanges.
Flow slowing down
Put more simply, the flow of SHIB coins has almost completely stopped, which is a blatant sign of market hesitancy and waning investor and trader momentum. Such exchange flow stagnation has historically been associated with one of two outcomes: either a slow bleed into lower price territory as investor interest wanes, or a significant accumulation phase that sets up a rebound.
SHIB/USDT Chart by TradingViewFor the time being, the lack of significant inflows or outflows points to a lack of conviction on both sides. The token is in a state of suspended animation because neither bulls nor bears are actively accumulating or applying strong sell pressure.
Downtrend goes nowhere
The 50-day, 100-day and 200-day moving averages indicate important resistance levels, and SHIB is still locked in a long-term downtrend on the price chart, trading at about $0.0000089. The bearish macro setup is strengthened by the downward direction of all three trendlines.
The token is moving closer to oversold territory, as indicated by the RSI near 32, but this is insufficient to initiate a reversal in the absence of a catalyst, such as significant changes in market sentiment or an increase in liquidity inflows.
The flat exchange netflow in the near future reflects a wider loss of momentum observed in meme tokens. Given the lack of on-chain activity, Shiba Inu’s future course will probably depend on traders’ decision to either reengage or further surrender. SHIB may continue to drift sideways or fall below the $0.0000085 support, which would be a new low in its post-summer consolidation phase if exchange activity stays quiet.
Source: https://u.today/shiba-inu-shib-only-73000000000-netflows-in-24-hours-show-emerging-issues
