Shiba Inu (SHIB), Even Short-Term Rebound Has Limits...Exchange Holdings on Brink of Collapsing Below $400 Million

▲ Shiba Inu (SHIB)

Shiba Inu (SHIB) exchange holdings are on the verge of collapsing below the $400 million mark due to price declines.

According to U.Today, a cryptocurrency specialized media outlet, on July 29 (local time), the dollar-converted value of Shiba Inu held in centralized exchanges is approximately $414.8 million. Even a slight price drop could push exchange holdings below $400 million. Typically, a decrease in exchange holdings is seen as a sign of easing selling pressure, but this trend is different in nature.

There is no evidence of a large-scale outflow of Shiba Inu from exchanges. The dollar-converted value of exchange holdings has decreased as the per-unit value of Shiba Inu has fallen. This makes it difficult to interpret the decrease in exchange holdings as investors shifting to long-term holding or a reduction in selling volume.

The Shiba Inu price presented by U.Today is $0.0000048. The price is hovering around the 20-day and 50-day Exponential Moving Averages (EMA). The 100-day line at $0.0000050 has established itself as a short-term resistance, and the long-term resistance, the 200-day line, is formed around $0.0000060. Analysis suggests that the recent uptrend is closer to a short-term rebound than a long-term trend reversal.

During periods of surging trading volume, the Relative Strength Index (RSI) rose to overbought levels but declined again as buying pressure weakened. While the upward momentum is stronger than at the beginning of this month, the explosive trend seen during the initial rebound has disappeared. The recent surge in trading volume has not continued, so buying pressure needs to increase significantly again to reach the 200-day line.

Active addresses, receiving addresses, and transaction counts have slightly increased, indicating that network usage has not significantly contracted. If Shiba Inu's price falls further, exchange holdings could drop below $400 million within days. Conversely, if the 100-day line is recovered, the dollar-denominated holdings will increase even if the quantity held by exchanges does not change.

[Article Key Summary]

-Shiba Inu exchange holdings are approximately $414.8 million, on the verge of collapsing below the $400 million mark.

-The decrease in holdings is largely due to the decline in Shiba Inu's price rather than large-scale withdrawals from exchanges.

-If the price fails to recover to $0.0000050, the recent uptrend is likely to remain a short-term rebound.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*