Shiba Inu Price Prediction: SHIB Faces Pullback Post Rally, $0.000018 Range Revisit Likely

0
Shiba Inu Price Prediction

Highlights:

  • SHIB exchange reserves drop below 96T, signaling long-term accumulation.
  • Price stalls at resistance while volume and volatility both surge.
  • Supply squeeze builds quietly as holders remove tokens from exchanges.

Shiba Inu (SHIB) was actively traded last week, with massive price fluctuations and bullish force propelling the asset. SHIB has excellent potential for future development. Short-term charts show mixed signals with resistance, volume jumps, and a market in transition.

SHIB Breaks Out of Range, Faces Resistance Near $0.000018

At the time of writing, SHIB was worth $0.00001509, which represented a 4.92% decrease on a day-to-day basis. The fall follows the token’s drop below a ceiling-turned-floor at $0.00001704, which had been in place for some time on the 15-minute chart. During a couple of weeks, SHIB traded at $0.00001470 to $0.00001704 in a consolidating mode.

If counted on measured move theory, the potential aim for this breakout is approximately $0.00001831–$0.00001848. In contrast, the price failed to break out further against $0.00001730, and the sellers came in a few minutes after the breakout established a new local high.

15-minute SHIB/USDT Chart
15-minute SHIB/USDT Chart | Source: X

Using the blue projection, the market could correct down first, then attempt to move up slowly and reach the same obstruction as if testing where it broke out.

Shiba Inu is grabbing the attention of investors despite the price going down, market numbers, and price indicators. SHIB 24-hour volume has increased 66.31% to $818.89 Million. The voltage-to-market cap ratio of the token is 9.15%, which means ample buying and selling is occurring.

The market cap of SHIB is at $8.94 Billion, with 15th position on Coinmarketcap, and the circulating supply is 589.25 trillion coins.

A volume increase usually indicates a focused purchase or massive selling. With interest up and 1.5 million new token holders, it is clear that both retail and speculative traders are involved.

Technical Indicators Highlight Trend Fatigue, Not Reversal Yet

4-hour charts show that an ascending channel has been active since early May. After getting near $0.00001750, SHIB pulled back to the lower bound of its channel, which may mean some traders were exiting their positions.

4-hour SHIB/USD Chart
4-hour SHIB/USD Chart | Source: TradingView

As of press time, the volume oscillator shows that the trend’s strength is decreasing, as the volume dropped by 29.35% within 24 hours. In that period, the Awesome Oscillator’s value became negative for the first time since the upswing began.

SHIB Data
SHIB Data | Source: CoinMarketCap

SHIB is near $0.00001527, which it had previously resisted as resistance. If it stays above this point and picks up buying pressure, SHIB could return to $0.00001704.

Historical Supply Dynamics Add Long-Term Context

The long-term relationship between the price of Shiba Inu and exchange reserves has been an influential measure of the latent sentiment of the market and possible directional prejudice.

According to the most recent CryptoQuant data, SHIB’s total exchange reserves on all centralized exchanges have reached an amount not witnessed since mid-2022, corresponding to about 95.9 trillion tokens. This significant decrease from over 190 trillion tokens in 2022 is a 49% decrease in the liquid supply within exchanges of SHIB.

In the past, frequent declines of the exchange reserves were followed by or coincided with primary bullish stages on the market. For instance, in late 2022 and early 2023, measured drawdowns in SHIB’s reserve levels were accompanied by price reversals from below $0.00001 areas into respective highs above $0.000017.

The same was also true during 2024, i.e., its inverse was also true. When reserves briefly surged in Q1 because of the panic inflows, SHIB’s price was under significant downside threat a little later.

SHIB Exchange Reserve Chart
SHIB Exchange Reserve Chart | Source: CryptoQuant

However, what differentiates the present cycle is the serrated and uninterrupted depletion in reserves without corresponding price rises. From early 2025 to the latter part of the year, the exchange reserves relating to SHIB had declined drastically from about 140 trillion tokens to less than 100 trillion in weeks.

This was done without a corresponding price breakout, indicating that accumulation is triggered by long-term investors shifting assets to cold storage and not speculators moving to position themselves for short rallies.

This change can suggest a change in how SHIB is viewed, from a straight speculative memecoin to something appearing more like a long-term digital commodity to an entrenched holder constituency. These holders are preempting supply squeeze in the future, as the available float in centralized platforms keeps shrinking.

An additional indication of this interpretation is the relative stickiness of these reserve reductions. In contrast to the past cycle years when temporary inflows restore liquidity through profit-taking, the current trend demonstrates no significant reverse flow of tokens to exchanges, even in recent volatility.

This means those holding the asset are less responsive to short-term price fluctuations and more likely to wait through a protracted accumulation-to-distribution cycle.

Leave a Reply

Your email address will not be published. Required fields are marked *