Shiba Inu Exchange Reserves Plunge to 12-Month Low as Golden Crossover Signals Rally

  • Shiba Inu exchange reserves drop to 83.8 trillion tokens creating tighter liquidity conditions.
  • Golden crossover pattern emerges at $0.00001358 mirroring May 2025 setup.
  • Technical resistance break could deliver 33-38% surge toward $0.00001867.

Shiba Inu’s exchange reserves have declined to 83,803,217,156,857 tokens, marking the lowest level in over 12 months according to CryptoQuant data.

The current reserve total valued at approximately $1.14 billion at today’s price of $0.00001358 indicates reduced selling pressure from exchange-held tokens.

The decline from over 150 trillion tokens held on exchanges during 2024 suggests market participants are moving SHIB into private wallets for longer-term holding. This supply reduction on centralized platforms creates conditions for price expansion when buying demand increases.

CryptoQuant

Reduced exchange inventory typically leads to higher volatility during price movements as fewer tokens are available for immediate sale. The 15% weekly gain for SHIB occurs alongside this supply tightening, creating favorable conditions for continued appreciation.

Golden crossover replicates May 2025 breakout pattern

Technical analysis reveals a fresh golden crossover formation where the 20-day exponential moving average has crossed above the 50-day EMA at $0.00001358. This bullish signal matches the identical pattern that occurred in May 2025 around the $0.00001320 level.

The May crossover preceded a 34% rally that pushed SHIB from $0.00001320 to $0.00001765, validating the pattern’s predictive value for momentum shifts. The current crossover’s emergence at nearly identical pricing suggests potential for similar percentage gains.

Golden crossover formations indicate short-term momentum gaining strength over longer-term trends, typically preceding sustained upward movement. The convergence of reduced exchange reserves and technical crossover signals creates dual catalysts for price advancement.

Current price action shows SHIB testing resistance near $0.00001421, with key supply zones identified at $0.00001468, $0.00001577, and $0.00001765. Breaking through these levels would open pathways toward $0.00001809 and $0.00001867 targets.

The potential advance to $0.00001867 would deliver 33-38% gains from current levels, matching the magnitude of May’s rally following the previous golden crossover. This percentage correlation strengthens the technical case for upward movement.

Immediate support sits at $0.00001320, the same level where the golden crossover signal activated. Additional support exists at $0.00001150, providing a stronger foundation for any potential corrections.

Downside risks include breaks below $0.00001282 support followed by violations of $0.00001189 and $0.00001150 levels. These bearish scenarios would invalidate the bullish setup and potentially trigger deeper corrections.

The combination of 12-month low exchange reserves and golden crossover formation creates technical conditions that historically precede major SHIB price movements. However, broader market sentiment and volume confirmation remain essential for sustained rallies.

Source: https://thenewscrypto.com/shiba-inu-exchange-reserves-plunge-to-12-month-low-as-golden-crossover-signals-rally/