Shiba Inu Sees Explosive 57 Billion Exchange Outflow: What It Means for SHIB Price
beincrypto.com 24 September 2024 11:17, UTC Shiba Inu (SHIB) has witnessed a price jump of around 9% in the past seven days. However, over the past 24 hours, the cryptocurrency has struggled to maintain that movement, sparking speculation of a notable price decline.
At the same time, SHIB saw a significant outflow from exchanges, hinting at a possible shift in the recent trend. As investor interest builds, what is next for the meme coin’s price?
Shiba Inu Investors Display High Conviction
On September 23, Shiba Inu’s exchange outflow was less than 4 billion. Today, the same metric spiked to 57.02 billion, according to Santiment data.
This outflow indicates that investors are moving their holdings to wallets rather than selling on exchanges, which suggests increasing confidence and a bullish sentiment toward the meme coin.
If that is the case, and it continues, SHIB could attract more buyers and potentially see more upward price movement. For instance, the outflow experienced a similar surge in September, and within two days, SHIB’s price moved from $0.000013 to $0.000015.
Read more: 6 Best Platforms To Buy Shiba Inu (SHIB) in 2024
Amid the surge in outflow, BeInCrypto observes a notable drop in the Network Value to Transaction (NVT) ratio. The NVT ratio shows if a cryptocurrency’s market cap is growing faster than its transaction volume or otherwise.
High values of the NVT ratio indicate higher market cap growth and typically signify that the price has hit the local top. Since the NVT ratio fell in SHIB’s case, transaction volume appears to be outpacing market cap growth, indicating that the price is at a good buying point.
Therefore, like the sign generated from the exchange outflow, SHIB’s price could be set to add more to recently made gains.
SHIB Price Prediction: Next Target Could Be $0.000017
The daily chart shows how SHIB’s price traded within a descending triangle between August 25 and September 18. This range-bound movement restricted the token from notching a significant increase.
However, since last Thursday, the price has broken out of the pattern and has failed to reverse there. This breakout suggests that SHIB’s price could be over its consolidation phase and most likely ready to head toward a three-month peak.
Currently, SHIB’s price is $0.000015. Furthermore, both the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) flash bullish signs. As seen below, these technical oscillators are at higher readings than they were some days back, indicating bullish momentum.
Read more: Shiba Inu (SHIB) Price Prediction 2024/2025/2030
If this trend continues over the next few days, SHIB might break the resistance at $0.000015 and climb toward $0.000017. However, failure to break the resistance could invalidate this bias. In that case, SHIB’s price could decline to $0.000013.
