- Whale sell-offs dominate SHIB volume, suppressing price breakout momentum.
- Alpha Layer boosts Shibarium with FHE encryption and multi-gas support.
Shiba Inu (SHIB) has seen a sharp rise in activity, hitting a weekly high amid a 16.42 trillion SHIB transaction volume. Recent on-chain data reveals that SHIB’s transaction volume, though impressive at 16.42 trillion in 24 hours, reflects major sell-offs rather than renewed investor interest.
Analysts report that this spike is likely driven by whales using the current price action as exit liquidity. The SHIB/USDT daily chart shows the token hovering around $0.00001179, struggling to maintain support above the $0.000012 level.
Price action remains constrained beneath the 50-day and 100-day exponential moving averages, which now serve as resistance zones. Red volume bars continue to dominate the chart, indicating sustained selling pressure.
Historically, a rise in trading volume without corresponding price growth has preceded bearish trends, a pattern that appears to be repeating.
SHIB Rebounds From Key Support, Eyes Breakout Zone
Technical analysis from Lingrid highlights that SHIB recently rebounded from a critical demand area near $0.00001155. The move aligns with the lower boundary of a descending wedge pattern, often interpreted as a potential reversal indicator. This setup includes a series of higher lows, which typically precede bullish momentum.
Currently, SHIB is consolidating in a tightening channel and may be preparing for a breakout. Resistance is projected between $0.00001290 and $0.00001320. Analysts emphasize that continued support above $0.00001155 is essential for this pattern to validate.
If volume begins to shift in favor of buyers, a move into the projected resistance zone could confirm a trend reversal.
Shiba Inu Launches Alpha Layer to Boost Web3 Development
Coincryptonewz recently reported that Shiba Inu has launched the Shib Alpha Layer on the Shibarium network. This new upgrade offers multi-gas token support and integrates Fully Homomorphic Encryption (FHE) through ZAMA, enabling encrypted smart contract logic. Developers are now equipped to build applications with increased privacy and interoperability.
The Alpha Layer marks Shibarium’s progress toward becoming a Layer-3 settlement framework, with faster cross-chain bridging and developer-focused tooling. On-chain activity remains consistent, supported by platforms like K9 Finance DAO and ShibaSWAP DEX.
According to the project team, the Alpha Layer delivers concrete tools designed to support real use cases, moving beyond speculative narratives.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
