Shiba Inu supply in profit falls 62% as SHIB price reverses and support is tested

Beincrypto reports Shiba Inu’s supply in profit plunged 62% after SHIB’s price reversed sharply over the past week, erasing a large portion of recent gains and shifting sentiment from accumulation to selling.

On-chain data showed nearly 140 trillion SHIB were in profit at the start of the year, but supply in profit dropped to about 57 trillion within a week. Exchange net position change data displayed consistent green bars indicating increased inflows to exchanges, and rising exchange balances suggest holders are preparing to sell. SHIB trades near $0.00000857 at the time of writing, holding just above $0.00000836 support, after losing 9.6% over the past week; it briefly touched $0.00001000 during an intraday spike on December 5.

Analysts in the piece said falling profitability and rising exchange inflows create a negative feedback loop that keeps downside risk elevated: a breakdown below $0.00000836 would breach the 50-day EMA and could push losses toward $0.00000786, while a bounce from $0.00000836 could lift SHIB toward $0.00000898 and, if cleared, flip the 100-day EMA into support. The article notes the analysis is for informational purposes only and should not be taken as financial advice.

Key Topics

Crypto, Shiba Inu, Shib, Glassnode, Tradingview, On-chain Data