Shiba Inu has finally broken above a long-standing descending trendline, ending over a month of resistance pressure. The cryptocurrency showed renewed strength after several failed attempts to surpass this supply barrier, with a rally to accumulation from holders and rising trading activity. On-chain data also indicates a substantial outflow from exchanges, signaling growing bullish momentum for SHIB.
SHIB Defies Descending Trendline Resistance
The descending trendline first formed after Shiba Inu reached an intraday high of $0.00000725 on February 14, acting as a consistent ceiling for prices. Attempts to breach the line on March 16 and 25 at $0.00000644 and $0.00000628, respectively, were rejected, keeping SHIB under pressure. Yesterday, SHIB recovered from earlier bearish movement, rising from $0.00000579 to close at $0.00000600.
This move marked the first daily close above the trendline, confirming a significant technical breakout. The token also surpassed its 50-day moving average at $0.00000591, further reinforcing bullish momentum. Market watchers suggest the next target could be the 100-day moving average, currently near $0.00000673.
Exchange Netflow Signals Holder Accumulation
On-chain metrics from CryptoQuant show a netflow of -133,335,400,000 SHIB over the past 24 hours, a 9.46% increase. This negative netflow indicates more SHIB was withdrawn from exchanges than deposited, a sign of accumulation rather than selling. This reduces immediate selling pressure while boosting upward momentum.
Trading volume also rose 41% in the same period, with taker buy activity slightly exceeding taker sell volume, indicating growing user participation. These trends suggest holders are consolidating positions and preparing for potential higher gains.
Market analysts and traders are watching closely, noting that Shiba Inu’s breach of the descending trendline, combined with exchange outflows and rising volume, could sustain further upside. If momentum continues, SHIB may challenge the next technical targets, strengthening its short-term bullish outlook. This combination of technical breakout and strong accumulation positions Shiba Inu as a cryptocurrency gaining renewed investor confidence.
At the time of writing, Shiba Inu is trading at around $0.000006022, up by 3.77% in the past 24 hours.
Source: https://coinpaper.com/16018/shiba-inu-breaks-through-long-standing-descending-trendline-amid-strong-accumulation
