81,500,000,000,000 SHIB Reason Why Shiba Inu Cannot Rally

81,500,000,000,000 SHIB Reason Why Shiba Inu Cannot Rally

Source: UToday

Published:10:11 UTC

BTC Price:$88788

#SHIB #Bearish #Supply

Analysis

Price Impact

High

The massive supply of 81.5 trillion shib on exchanges creates significant sell pressure, preventing any sustained rallies. even small upward movements are met with long-term holders selling off, leading to a persistent downtrend.

Trustworthiness

High

The analysis is well-supported by on-chain data regarding exchange reserves and technical observations of price action, volume, and moving averages.

Price Direction

Bearish

Shib is in a persistent downtrend, trading below all major moving averages. failed recovery attempts, volume spikes on red candles, and a lack of demand absorption indicate continued selling pressure rather than accumulation.

Time Effect

Long

The underlying issue of immense supply on exchanges, with a negligible reduction rate, suggests that it would take 'decades to significantly alter the supply dynamics.' this indicates a prolonged bearish outlook unless there's a dramatic surge in demand not currently observed.

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Article Content:

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 Still a lot to work with Shiba Inu's path down Advertisement The price movement of Shiba Inu provides a clear picture : SHIB is still in a persistent downtrend despite sporadic green candles and brief bounces. Every attempt at a recovery has failed more quickly than the last, and the asset is still trading below all major moving averages. Volatility has compressed in a manner that typically precedes continuation rather than reversal, and momentum indicators indicate exhaustion rather than accumulation, but there is a bigger reason behind this trend. Still a lot to work with There are currently about 81.5 trillion SHIB on exchanges. The fact that upside is so difficult to maintain is explained by that number alone. Any rally is met with a huge wall of possible sell pressure right away. Long-term holders who are stuck at higher levels have a chance to sell even small upward movements. Simply put, the market lacks the depth of demand to reliably absorb that supply. SHIB/USDT Chart by TradingView There is some advancement in favor of bulls though. Exchange reserves have slightly declined over the last 12 months. Over the course of a year, the total reduction is approximately 500 billion SHIB. When compared to the remaining supply, that sounds substantial. It is practically noise in terms of percentages. If demand does not decline first, it would take decades to significantly alter the supply dynamics at that rate. HOT Stories 'Smartest Man Alive' Keeps Shilling XRP, Calls It 'Digital God' SBI Starts XRP Lending, Shiba Inu Whale Awakens With 53 Billion SHIB Transfer, New Ethereum Hack Revealed — Crypto News Digest Crypto Market Prediction: Will Shiba Inu (SHIB) Crash Ever End? Ethereum (ETH) Already Sniffing $3,000; Bitcoin (BTC) Price Expodes in Unexpected Volume Spike 'True Currency': Did Elon Musk Just Describe Bitcoin? Shiba Inu's path down The way prices move reflects this fact. Every sell-off resets SHIB to lower ranges , and even small resistance levels are difficult for rebounds to recover. Persistent distribution rather than panic was the cause of the most recent leg down. While green candles show no follow-through, red candles' volume spikes indicate that sellers are still active. This is not the behavior of accumulation. Advertisement You Might Also Like Fri, 12/19/2025 - 08:25 Is Shiba Inu (SHIB) Comeback Imminent? Price Finally Moving By Arman Shirinyan The bearish case is supported by the exchange reserve chart. Instead of collapsing, reserves are gradually bleeding. This indicates that holders are not actively transferring SHIB to long-term cold storage. Rather, a sizable portion is still liquid and can be sold into strength. Rallies will continue to end early until that changes significantly. There are two main scenarios from here. SHIB may experience a short-term sideways grind or a weak bounce as sellers temporarily retreat. That only delays the issue, it does not solve it. The price is still susceptible to another leg lower in the medium run unless exchange balances drastically decline or demand surges. Advertisement #Shiba Inu #Shiba Inu (SHIB) Price Prediction