Shiba Inu Exchange Outflows Surge as Critical Support Level Approaches

Shiba Inu's (SHIB) exchange outflows have surged by over 100% in just one day, indicating that investors are taking their tokens off exchanges. However, this increase is not as bullish as it seems, as inflows are growing even faster. According to on-chain data, the seven-day average exchange outflow has increased by 121.26%, but exchange inflow has jumped by a staggering 182.3%.

Despite the significant increase in outflows, the total exchange netflow remains positive at around 86.53 billion SHIB. This means that more tokens are being withdrawn from exchanges than deposited, which could put downward pressure on prices. The token is currently trading near $0.00000520 and is facing technical pressure.

SHIB's critical support level is approaching at $0.00000500, where major moving averages and the rising short-term trendline converge. If this level is breached, it could lead to a larger sell-off and prices could drop to around $0.00000480 or even the August support zone of $0.00000440.