- SHIB exchange reserves dropped sharply, signaling increased long-term holding and reduced short-term speculation
- Technical indicators and whale activity suggest bullish momentum may push price toward $0.00000800.
- Recent short liquidation and CMF readings support potential trend reversal and accumulation phase.
Shiba Inu’s SHIB has drawn renewed attention as price hovers around the $0.00000600 demand zone. Excessively leveraged positions have mostly cleared, giving the market a breather after months of volatility. At the same time, exchange reserves for SHIB have plunged sharply, hinting at significant structural changes. Traders and long-term holders alike are watching closely to see whether this shrinking supply could ignite upward momentum for the meme token in the coming weeks.
Exchange Reserves Drop Sharply
Recent on-chain data from Crypto Quant reveals that over 140 billion SHIB coins moved off exchanges in just three days. Total reserves now sit at a record low of 81.1 trillion, compared to more than 150 trillion last year. This trend shows that holders prefer self-custodial wallets, moving SHIB into hot or cold storage in DeFi rather than keeping it on exchanges.
This movement suggests that speculation is waning and long-term holding is increasing. Investors appear more focused on storing SHIB for future potential gains rather than chasing short-term price swings. The market is seeing a shift from high-risk trading to strategic accumulation.
The reduction in available supply on exchanges means less SHIB is ready for immediate trading. With fewer coins accessible, upward price pressure can build if demand picks up. This supply crunch sets the stage for a possible bullish breakout, especially if whales remain active in the market.
Bullish Momentum Signs Emerge
Derivatives data shows that short-sellers absorbed nearly all SHIB liquidation burdens recently, totaling $97.91K of $100.69K in liquidations. This clearing of shorts can provide breathing room for buyers and may signal early bullish conditions. Traders are watching whether whales, the largest holders, maintain momentum to push SHIB toward higher levels. Technical indicators support this outlook.
The Chaikin Money Flow (CMF) reads 0.15, indicating that large players are actively buying. Bull Bear Power (BBP) scales have flipped bullish, often marking local bottoms and potential trend reversals. SHIB price currently sits on the top-tier Bollinger Band, a critical point for near-term momentum. Combined with Bitcoin reclaiming $70K, market conditions align for a potential surge. Exchange pairs on Coinbase and Binance show renewed interest from whales.
Their activity suggests confidence in SHIB’s potential to move higher. If buying pressure continues, SHIB could target $0.00000800 in the coming weeks. However, price action will depend heavily on ongoing whale support and general market sentiment. Overall, the shrinking supply, cleared leveraged positions, and bullish technical signals point toward a possible SHIB rebound. Traders should watch key support and resistance levels closely.
