A +6,894.01% surge in exchange inflow, one of the biggest in months, signals significant market activity, primarily indicating a large amount of tokens being moved to exchanges, likely for selling.
The analysis is based on specific on-chain metrics (exchange inflow, outflows, exchange reserves, spot cvd, active addresses) and technical indicators (moving averages, support levels) to support its conclusions.
The massive increase in exchange inflow, not matched by outflows, points to increased sell-side liquidity. shib is trading below critical downward-sloping moving averages, exhibiting a distinct downtrend with lower highs and lower lows, indicating strong bearish momentum and potential for further decline.
The analysis focuses on current price action, immediate selling pressure, and potential retesting of recent lows (e.g., $0.00075-$0.00070), suggesting short-term price movements.
Cover image via U.Today Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. Read U.TODAY on Google News Shiba Inu stays in free-fall Price decline continues Advertisement With the seven-day mean exchange inflow metric surging +6,894.01%, Shiba Inu just recorded one of its biggest on-chain spikes in months. Such a move would not occur without significant subsurface pressure. Whether this is a bullish ignition signal or just another warning sign embedded in a downward trend is the question. As of right now, the evidence points more toward a structural warning than a recovery catalyst. Shiba Inu stays in free-fall Let’s start with the price action: SHIB is still falling beneath the 50, 100 and 200 critical moving averages, all of which are angled downward. Every attempt at a bounce is promptly sold into. The chart is still locked in a distinct downtrend with lower highs and lower lows. This structure indicates exhaustion rallies inside a dominant bearish channel rather than accumulation. Any upward movement is noise rather than a change in trend until SHIB recovers at least the 50-day EMA and breaks above the cluster around $0.00095-$0.00105. SHIB/USDT Chart by TradingView The spike in on-chain flow verifies the issue. Generally speaking, a huge increase in inflow indicates that tokens are being sold on exchanges. This increase was not reflected in outflows. Exchange reserves are increasing, spot CVD is still weak and active addresses are unchanged. This combination suggests an increase, rather than a decrease, in sell-side liquidity. Large holders are either staying put or getting ready to sell rather than purchasing dips, because the top 10 wallets’ outflow is hardly moving. HOT Stories Morning Crypto Report: Elon Musk's SpaceX Relocates $100 Million in Bitcoin, USD Stablecoin $1 Million Exploit, New Cloudflare Outage Takes Down Coinbase XRP Hits Deepest Fear Levels Since October Crypto Market Prediction: 150% Shiba Inu (SHIB) Skyrocketing, Is Ethereum (ETH) Death Cross Cancelation Confirmed? Where's Bitcoin (BTC) Going to Stop: $93,000, $86,000 or Lower? Ripple Finalizes Acquisition of Treasury Management Giant GTreasury Price decline continues Another troubling aspect of the MA7 inflow chart is that inflows increase exactly when prices decline. It appears more like smaller holders sending SHIB to exchanges as panic protection, which typically precedes another leg down. That is classic capitulation behavior, but not the bullish kind where whales scoop the bottom. Advertisement You Might Also Like Fri, 12/05/2025 - 11:06 XRP Not Leaving 1,000,000,000 Club: Fundamental Growth Recorded By Arman Shirinyan What will happen next? SHIB might retest the lows from November. The next logical target is $0.00075-$0.00070 if the selling pressure caused by this inflow spike materializes. This outlook could only be reversed by a persistent decline in exchange reserves and a break above the 50-day EMA. The signal is strong right now, but it is not bullish; rather, it is a warning that SHIB might not be finished bleeding. #Shiba Inu #Shiba Inu (SHIB) News