Massive Shiba Inu Outflow Sparks Hopes for Price Reversal

Shiba Inu (SHIB) has seen a remarkable shift in market dynamics after one of the largest single-day exchange outflows in months. More than 243 billion SHIB tokens left centralized exchanges in the past 24 hours, signaling growing accumulation by long-term holders and raising speculation of a potential price rebound.

SHIB Stuck in Tight Pattern as Bulls Await Breakout

After retreating steadily from its mid-year highs, SHIB is now consolidating at $0.00001166, according to daily chart data. The token remains confined within a symmetrical triangle formation, with support positioned around $0.00001000 and strong resistance near $0.00001370.

Despite several attempts, SHIB has yet to break above its descending trendline resistance, keeping bullish momentum capped. However, the latest outflows may reset liquidity conditions, providing buyers with the chance to mount another breakout attempt.

On-Chain Metrics Highlight Reduced Selling Pressure

The exchange netflow shows a negative reading of -238.2 billion SHIB, meaning outflows have far outweighed inflows. At the same time, exchange reserves declined by 0.28% in just one day, leaving 84.56 trillion SHIB available for trading.

This reduction in supply is supported by a 1.87% drop in the value of SHIB’s USD-denominated exchange reserves. Interestingly, both transaction counts (+0.99%) and transfer counts (+1%) have ticked higher, suggesting that while tokens are leaving exchanges, wallet activity remains vibrant as retail traders and whales redistribute holdings.

RSI Nears Oversold Zone as Buyers Watch Key Levels

From a technical standpoint, SHIB’s Relative Strength Index (RSI) is hovering near 38, edging closer to oversold territory. Analysts note that if the token holds above the $0.00001050–$0.00001100 demand zone, it could establish a base for recovery. A successful breakout above the $0.00001370 resistance level would open the door for targets between $0.00001500 and $0.00001700.

Long-Term Holders Show Conviction

Although short-term risks remain due to sluggish overall market momentum, the magnitude of the 243 billion SHIB outflow cannot be overlooked. Historically, such events have coincided with accumulation phases, where long-term holders withdraw tokens from trading venues to self-custody wallets.

This behavior reduces immediate selling pressure and often signals growing conviction among investors who are betting on future upside. If market conditions stabilize, this mass withdrawal could set the stage for Shiba Inu’s next recovery attempt.