Key Points
- Shiba Inu has declined 3.39% in the past 24 hours, extending a seven-day loss of over 10%.
- More than 120 billion SHIB tokens recently moved onto exchanges—a sign of large-scale selling.
- The broader market sentiment has turned sharply negative, with the Fear & Greed Index plunging to 15, indicating extreme fear.
- Technical indicators show a breakdown below key moving averages, with the token now testing critical historical support near $0.0000083.
- Meme coins like SHIB are especially vulnerable during risk-off cycles, as investors shift capital toward safer digital assets like Bitcoin.
Whale Activity and Exchange Inflows
A dramatic shift in on-chain behavior has emerged over the past week, with more than 120 billion SHIB tokens transferred to centralized exchanges. This represents the largest net inflow of Shiba Inu to trading platforms since July 2025, coinciding with a 15.64% jump in daily trading volume, which now stands at $173 million. Such movements often precede large liquidations, as holders—particularly those with significant positions—position themselves to offload holdings quickly and efficiently.
When large token balances accumulate on exchanges, market dynamics tilt toward oversupply. In Shiba Inu’s case, this influx arrives while the asset already trades 65% below its price from a year ago. Without signs of comparable accumulation from long-term or institutional buyers, the imbalance between sellers and buyers grows steeper. This dynamic suggests that current price pressure stems not from short-term speculation but from deeper structural shifts in holder behavior.
Market Sentiment and Altcoin Vulnerability
Investor psychology has taken a sharp downturn across the cryptocurrency landscape. The Fear & Greed Index recently plummeted to 15—a reading classified as “Extreme Fear” and the lowest observed since March 2025. As uncertainty mounts, capital naturally migrates toward perceived safety, and in crypto markets, that often means Bitcoin. Indeed, Bitcoin dominance has climbed to 58.68%, reflecting a broad retreat from speculative altcoins.
Meme-based assets like Shiba Inu feel this shift most acutely. Their price action tends to amplify broader market swings, especially in downturns. The past 24 hours saw SHIB fall 3.39%, more than double the average decline across the entire crypto market, which dropped just 1.36%. This outsized move underscores SHIB’s high-beta profile: it rises quickly in euphoric conditions but collapses faster when sentiment sours. The Altcoin Season Index, now at 27 after a 6.9% drop, further confirms that speculative tokens are out of favor as investors prioritize capital preservation.
Technical Structure and Downside Risk
From a chart perspective, Shiba Inu has entered a precarious zone. It recently breached both its 7-day and 30-day simple moving averages, priced at $0.00000889 and $0.00000965 respectively. These levels often serve as short-term anchors for price stability, and their violation has likely triggered automated sell orders from algorithmic traders. Adding to the concern, the Relative Strength Index now sits at 31.28—deep in oversold territory but without any visible signs of reversal momentum.
The token now hovers near a key psychological and historical support level at $0.0000083, which marked a significant low in June 2025. Should SHIB close decisively below this threshold, the path could open toward the next major floor around $0.0000075. Technical breakdowns like this rarely occur in isolation; they feed into negative feedback loops where falling prices accelerate selling, which in turn pushes prices lower. Without a swift sentiment recovery or unexpected positive catalyst, the technical outlook remains firmly bearish.
Conclusion
Shiba Inu’s recent slide is no isolated event. It reflects a convergence of adverse forces: concentrated selling by large holders, a sharp deterioration in market-wide risk appetite, and a technical structure that has lost critical support levels. Each of these factors reinforces the others, creating a self-sustaining cycle of downward pressure. The immediate focus lies at the $0.0000083 support—a boundary that, if broken, could accelerate losses toward deeper lows. For now, SHIB remains at the mercy of macro sentiment and on-chain supply dynamics, with little evidence of counterbalancing demand entering the market.
