Shiba Inu (SHIB) found a new support base at $0.000006018 on April 3, following a period of price weakness, as on-chain data showed a 76% spike in netflows.
The significant increase in transactional activity for the Ethereum-based token suggests a potential shift in investor positioning. "A 76% jump in netflow is a statistically significant event, pointing to a large volume of tokens moving," said a data analyst from CryptoQuant. "The key question is the direction of that flow." Data from CoinMarketCap shows SHIB's market capitalization holding at $3.54 billion as of 10:31 AM UTC.
The surge in netflow presents a dual-edged sword for the popular memecoin. A high volume of inflows to exchanges would suggest that traders are preparing to sell, potentially leading to downward pressure on the price. Conversely, a net outflow from exchanges would imply accumulation by investors, a bullish signal that could strengthen the newfound price support.
Looking ahead, the direction of the netflow will be critical for SHIB's short-term price action. If the support at $0.000006018 holds, the next resistance level for the token is at $0.000007500. A failure to maintain the current support could see the price retest its previous lows.
This article is for informational purposes only and does not constitute investment advice.
