Shiba Inu Exchange Reserves Plummet Toward $400 Million Threshold

Shiba Inu (SHIB) is facing a significant milestone, but not for a good reason. Its dollar value held on centralized exchanges is approaching $400 million and may soon drop below this threshold.

This decline in exchange reserves does not necessarily indicate that investors are withdrawing their funds en masse. Instead, it appears to be the result of SHIB's declining value itself.

The current market price of SHIB is around $0.0000048, far from its annual highs. As a result, even slight price declines can cause the total market value of exchange-held tokens to fall below $400 million.

A recent rally in SHIB's price was seen as a relief bounce rather than the start of a long-term trend reversal. The 100-day EMA is currently at $0.0000050 and acts as an immediate barrier, while the 200-day EMA is located around $0.0000060.