SHIB Holders Withdraw $288M After 30% Price Surge

Shiba Inu (SHIB) has captured the spotlight again with a recent surge in price and a massive $288 million in token withdrawals from exchanges. This shift follows a steady 30% price rise over the past month, highlighting growing interest and activity from SHIB holders. The sudden wave of withdrawals could impact the token’s market performance as trading volume on exchanges declines.

That sets the stage for a strong sentiment shift in Shiba Inu’s case, which was in dire straits in the previous quarters. With every additional SHIB being withdrawn from exchanges, some analysts claim it will result in further scarcity, which would support the price in the near term.

The rally may visibly slow down, but continued withdrawals and a host of bullish metrics tend to make it look as if the upward momentum for SHIB isn’t done just yet.

The balance of SHIB tokens on exchanges suddenly plummeted, losing $288 million in one week, after Shiba Inu’s price surged 30%. This is a huge change for SHIB holders and may have an impact on the market dynamics of the token.

Currently, SHIB’s price sits at $0.000019 after a strong monthly rally. Although growth has slowed, analysts suggest the rally could continue, as several metrics hint at potential further gains.

Key Market Movements

• 16 Trillion SHIB Withdrawn: In just a week, holders moved 16 trillion SHIB tokens from exchanges, reducing available supply. This action, valued at approximately $288 million, could limit the token’s trading supply on exchanges.
• Market Effects of Withdrawals: As the available exchange supply drops, scarcity rises, potentially pushing prices up. If holders keep withdrawing SHIB, the token may overcome minor declines and see continued price growth.

Supporting Metrics

• MVRV Long/Short Difference: A valuable metric, MVRV shows that long-term SHIB holders hold more unrealized profits than short-term ones, which is a generally positive sign. This ratio recently shifted from a negative -33.44% to -21.49%, suggesting SHIB might be shaking off a bearish phase.
• Bull-Bear Power (BBP): The BBP index, which compares buying and selling strength, is currently positive for SHIB. This shows that buyers (bulls) are more active than sellers (bears), indicating ongoing accumulation.

Technical Indicators

The recent price rally has positioned SHIB near a critical resistance level, hinting at a potential breakout:

If these signals remain strong, SHIB could target $0.000024. However, if bears manage to keep SHIB below $0.000020, prices may retreat to around $0.000017.

Whether SHIB reaches new highs or faces resistance will likely depend on further exchange movements and market sentiment.