Despite SHIB’s price decline, there’s a spot of good news
- The price of SHIB has decreased by over 1%.
- Shiba Inu’s outflow was almost double the inflow.
Following the recent uptrends in Shiba Inu [SHIB], there has been a notable decline in the past few days, causing a decrease in the price. How have traders reacted to this change?
Shiba Inu resumes decline
The analysis of Shiba Inu on the daily timeframe showed a decline in value over the last three days. The chart showed around an 8% decrease, following around 10 days of upward trends.
The primary downturn occurred on the 11th of December, resulting in a decline of about 7.8%. Despite a minor recovery of less than 1% on the 12th of December, it experienced a subsequent fall.
As of this writing, SHIB was trading with a decline of over 1.8%. The chart showed that the significant 7% decline on 11 December pushed its Relative Strength Index (RSI) below 60.
As of press time, the RSI remained below 60, suggesting that it was still in a bullish trend, but with a gradual weakening trend.
Exchange flow shows accumulation interest in Shiba Inu
An analysis of Shiba Inu’s exchange flow on Santiment showed a continued accumulation trend despite the recent decline in price. As of this writing, the inflow of SHIB tokens into exchanges was around 26.3 billion.
The volume reflected the number of tokens entering exchanges for potential sale.
Conversely, the exchange outflow showed a substantial movement of nearly 51 billion SHIB tokens out of exchanges, signifying withdrawals from trading platforms.
This trend suggested that a growing number of traders are opting to move their tokens off exchanges, possibly in anticipation of future price increases.
Positive sentiments decline
Following the notable decrease in Shiba Inu’s value on the 7th of December, data from Coinglass showed a subsequent decline in the Funding Rate. Notably, SHIB’s Funding Rate dropped from around 0.05% to about 0.003%.
Throughout this period, the Funding Rate has consistently remained in positive territory.
Is your portfolio green? Check out the SHIB Profit Calculator
As of this writing, the Funding Rate has increased to around 0.01%. The chart suggested that the decline in SHIB’s value has dampened positive sentiments surrounding it.
However, despite the decline, the overall sentiment remained positive, indicating that traders continue to anticipate a potential rise in the price of SHIB.