Kyle Doops, a technical analyst on the Crypto Banter show, predicts that Shiba Inu (SHIB) is on the verge of a recovery to the $0.00002 region. He bases this prediction on the reduced selling pressure for SHIB, as indicated by the decrease in net flows of Shiba Inu tokens to centralized exchanges in recent days. This information is sourced from CryptoQuant, an analytics platform.
At present, approximately 78.4 billion SHIB tokens have been sent to exchanges, while a larger amount of 121 billion SHIB tokens have been withdrawn from exchanges. Consequently, the net flow to liquid platforms is negative, amounting to approximately 42.6 billion Shiba Inu tokens.
A similar trend was observed the previous day, with market participants selling around 485 billion SHIB tokens on exchanges, while others withdrew 633 billion SHIB tokens, effectively neutralizing the selling pressure for that day.
On June 24, Shiba Inu experienced a positive net flow on exchanges when holders dumped over 2.3 trillion SHIB tokens. However, the outflow on that day was approximately 1.29 trillion, resulting in a net influx of over 1.01 trillion tokens. This caused the price of SHIB to drop to $0.00001642 on Monday.
According to CryptoQuant data, the net flows of Shiba Inu to exchanges have been negative for four consecutive days, with outflows surpassing inflows. This trend has contributed to the stability of Shiba Inu’s market values in recent days. Currently, Shiba Inu is trading around $0.00001723, reflecting a 2% increase in the last 24 hours.
Based on the ongoing outflow trend, Doops suggests that whales are capitalizing on Shiba Inu’s low price to accumulate more tokens, potentially driving the asset’s price back to the $0.00002 range in the coming days. To regain the $0.00002 support level, SHIB only needs a 16% price rally.
Doops also notes that Shiba Inu’s potential reversal is supported by Bitcoin’s rebound to the $60K region.
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