Shiba Inu (SHIB) has entered a worrying phase as on-chain data reveals a sharp decline in trading activity. Over the last 24 hours, SHIB recorded a transaction volume of just 320.14 billion tokens, a figure that would have seemed negligible during more bullish periods. At its peak, SHIB frequently saw 1 to 2 trillion tokens transacted in a single day. Now, 320 billion barely registers as a blip, a rounding error compared to those highs.
Trading Volume Mirrors Market Weakness
This drop in volume isn’t just a one-off event. SHIB has remained stagnant at this same volume level for over a week, highlighting a growing lack of enthusiasm. According to on-chain data, the seven-day peak for large transactions is only 3.14 trillion SHIB, underscoring how far the token has fallen from the frenzied activity that once defined it.
Even more concerning, the seven-day average sits at just 2.76 trillion SHIB, which confirms that whales have largely backed off. This lack of major transactional activity reflects a market that has grown quiet and cautious.
Price Action Nears Critical Support
While the volume paints a bleak picture, the price chart offers no reassurance. SHIB is currently trading near $0.0001297, perilously close to multi-month lows. Technical indicators suggest further downside pressure may be on the way. The recent breakdown below the 50-day EMA and key horizontal support has placed SHIB on thin ice.
Only the 200 EMA, sitting just beneath the current price, remains as a potential last line of defence. Should SHIB break below this level, the bears could gain full control, opening the door for an extended decline.
Downtrend Persists With No Clear Catalyst
Since late 2024, SHIB has formed a consistent pattern of lower highs and lower lows, confirming a well-established downtrend. Without a strong catalyst, such as a whale-driven accumulation or a surge in retail interest, the path of least resistance remains firmly to the downside.
The data shows that speculative excitement, the fuel that once powered SHIB’s meteoric rise, has all but disappeared. Retail interest continues to wane, and large holders show little conviction. With no surge in volume, SHIB seems trapped in a cycle of stagnation.
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Final Thoughts: 320 Billion SHIB Is a Red Flag, Not a Milestone
The latest trading volume figure of 320 billion SHIB should serve as a warning rather than a reason for optimism. This level of activity suggests that market participants have checked out, and without renewed enthusiasm or a major announcement, SHIB’s price is unlikely to reverse course.
If bulls hope to spark a recovery, they must regain lost momentum, and quickly. Otherwise, Shiba Inu risks slipping further into obscurity, dragged down by declining volume and mounting technical pressure.
