Shiba Inu is up by over 5% over the last 24 hours as momentum begins to shift following the broader crypto market resurgence seen in the last day.
While the asset has reclaimed its previous high, trading back above $0.0000055, the positive momentum may not have been backed by increasing demand over the stated period.
144 billion SHIB in 24 hours
Rather than the usual decrease in exchange netflow that is often noticed on days when the market is seeing a price rally, the Shiba Inu exchange netflow has only increased this time.
According to the latest onchain data provided by crypto analytics platform CryptoQuant, Shiba Inu has witnessed a modest increase in its netflow over the last 24 hours, currently sitting at around 144,869,700,000 SHIB as of September 19.
Unlike what it may look like, the positive balance in the SHIB netflow does not provide a bullish outlook for the asset, as it simply indicates that sellers are currently dominating the Shiba Inu market.
This means that the number of SHIB tokens sent to exchanges for a potential sell-off attempt is substantially higher than the amount of SHIB outflows targeted for buying by over 144 billion SHIB.
SHIB may lose its track to $0.000006
While Shiba Inu has long traded around the $0.000005 mark following the consistent market volatility seen in the previous months, traders have become highly optimistic about its breakout to the next major level.
The sharp price rally has stirred confidence that Shiba Inu might be on track to breaking recent resistance and soar far above $0.000006, especially after it surged by over 5% over the last day.
Nonetheless, analysts predict that the rally may be short-lived following the major divergence in its exchange activity, which suggests that the rally might not be backed by enough demand.
Dan Burgin
U.Today Editorial Team
