Shiba Inu exchange reserves hit 88 trillion as bearish momentum builds

Shiba Inu (SHIB) is struggling to recover from its recent price decline, and the bearish trend is now affecting its exchange activity. Data from CryptoQuant shows that the supply of SHIB on exchanges is rising, a signal that often suggests increasing selling pressure.

The SHIB exchange reserve has returned to the 88 trillion mark, hitting 88,076,900,000,000 SHIB as of October 3rd. This is the highest level since early June, when the crypto market was highly volatile. The exchange netflow also shows a positive balance of over 288 billion SHIB, indicating that more tokens are moving into exchanges than leaving them.

At the time of writing, SHIB is trading down nearly 3% over the past 24 hours. Analysts suggest that bearish traders may be gaining control, with demand for SHIB appearing to fade. The rising exchange supply has raised concerns that traders are selling off their holdings, potentially setting the stage for further price declines.