Shiba Inu is caught between two competing forces. On one side, fresh data shows continued retail participation. On the other hand, on-chain signals point to rising selling pressure, pushing the token’s price down 2.18% over the last 24 hours to around $0.00000577 at the time of writing.
The tension is visible across multiple data sets, and for now, the bearish signals appear to have the upper hand. New wallet creation in the Shiba Inu ecosystem has remained consistent, ranging between 5,000 and 12,000 new wallets per month. That steady pace has pushed total holders past the 1.50 million mark, according to figures released by the Shibarium team. The number reflects sustained retail interest even as SHIB has struggled to find a footing in a choppy market.
Exchange Inflows Signal Growing Sell-Side Pressure
On-chain data from CryptoQuant recorded nearly 40 billion SHIB tokens moving into exchanges during the 24-hour window ending March 26. Outflows failed to keep pace. The result was a positive netflow, more tokens entering exchanges than leaving them.
Exchange reserves climbed from 81.20 trillion to 81.29 trillion tokens in the same period. That increase confirms the trend. Tokens sitting on exchanges are accessible. Any holder looking to exit a position quickly can do so without the added step of transferring from a private wallet first.
That availability matters in uncertain market conditions. When liquidity is thin and sentiment is weak, a large pool of exchange-held tokens can accelerate a price decline. It does not guarantee a sell-off, but it does mean the conditions for one are present.
Technical Rejection Adds to Bearish Outlook
The chart picture for SHIB offered little comfort. Analysts identified the token attempting to push through the upper boundary of a descending triangle pattern, a formation widely regarded as a bearish signal. That attempt failed.
Descending triangles form when price makes lower highs while holding a flat support level. Each failed breakout attempt at the upper boundary tends to strengthen the resolve of sellers. SHIB’s rejection at that level was consistent with that dynamic. The price pulled back after failing to clear the resistance zone, compounding what was already a weak session.
Source: https://coinpaper.com/15799/shib-price-drops-2-amid-rising-exchange-reserves-and-descending-triangle-rejection
