- SHIB has declined by 12.34% in thirty days, hitting a 2-week low.
- Shiba Inu investors are aggressively buying the memecoin, signaling a potential recovery.
After facing rejection at $0.000015 and the subsequent failure to break out of a descending triangle, Shiba Inu [SHIB] has faced strong downward pressure.
Over the past four days, the memecoin has seen a sustained decline, dropping from a high of $0.0000156 to a 2-week low of $0.000012.
Source: Tradingview
In fact, as of this writing, Shiba Inu was trading at $0.00001217. This marked a 4.02% decline on daily charts. Equally, the memecoin has declined on weekly and monthly charts, dropping by 7.4% and 12.34%, respectively.
Such a sustained decline suggests that there’s a strong downward momentum, as evidenced by the declining Stoch RSI. Since making a bearish crossover four days ago, Stoch has declined from 100 to 4.23, at press time.
With SHIB facing strong downward movement, it seems buyers are taking the opportunity to buy the dip.
Can buyers push Shiba Inu to recovery?
Source: MobChart
AMBCrypto’s analysis indicates that both retail buyers and whales have started accumulating SHIB. Data on Delta and order imbalance reveals a higher number of buy orders compared to sell orders in the market.
The positive delta and order imbalance suggest aggressive buying, signaling that SHIB has entered its accumulation phase.
Source: Coinglass
AMBCrypto saw this rising buy-side activity as spot netflow has turned negative over the past day.
As per Coinglass data, SHIB’s netflow has dropped to -2.06 million, a decline from $3.7 million from the previous day. Such a huge negative dip implies that exchanges are seeing more withdrawals than deposits, reflecting strong accumulation.
Source: IntoTheBlock
Whales are playing a prominent role in Shiba Inu’s recent accumulation phase. Over the past day, large holders have purchased 317.63 billion SHIB tokens, a significant increase from 148.6 billion.
Meanwhile, outflows from these holders remain low, having dropped to 110 billion, resulting in a net inflow of 206.9 billion SHIB.
A rising netflow among large holders, as seen recently, indicates that whales are actively accumulating more tokens. When both whales and retail buyers are purchasing, it reflects a bullish sentiment, with investors expecting prices to rise in the near term.
This accumulation comes as buyers take advantage of Shiba Inu’s price dip, signaling optimism for a market recovery. If buyers sustain the current sentiment, Shiba Inu could potentially reclaim the $0.000015 resistance level.
However, if the bulls fail to reverse the downward trend, SHIB might decline further to the lower boundary of the channel at $0.0000108.