5.76 Trillion Shiba Inu (SHIB) in 24 Hours: What Happened?

Shiba Inu's Surge in Transactions: A Complex Picture Emerges

The Shiba Inu (SHIB) crypto ecosystem recently saw a dramatic spike in transaction volume, hitting 5.76 trillion SHIB on May 20th. While this surge might seem bullish at first glance, deeper analysis of on-chain metrics and price trends reveals a more nuanced—and potentially concerning—outlook.

Technical Support and Resistance Levels

From a technical standpoint, SHIB has rebounded from its 100-day exponential moving average (EMA), which now acts as dynamic support in the $0.00001440-$0.00001460 range. This aligns with a historically strong support zone on the daily chart, and the RSI's return to neutral territory suggests renewed buying interest.

However, the token now faces a critical test at the 200 EMA near $0.00001600—a level that has repeatedly influenced SHIB's price action in recent months. A decisive breakout above this resistance could pave the way for a rally toward $0.000020. But such a move would require strong technical momentum and confirming on-chain signals.

Bearish On-Chain Signals

Despite the headline-worthy transaction surge, key on-chain indicators paint a less optimistic picture. IntoTheBlock data highlights four concerning trends:

• Declining addresses in profit
• Stagnant network growth
• Decreasing whale concentration
• Weakening retail engagement (evidenced by reduced Telegram activity)

Adding to the pressure, 54% of SHIB holders remain underwater on their investments. This creates persistent sell pressure whenever prices rise slightly. With large wallets controlling 74% of the supply, any volume spikes could just as easily precede a sell-off as a rally.

In essence, this recent transaction surge may reflect smart money exiting positions rather than preparing for an upward move—unless SHIB can convincingly break and hold above both the 200 EMA and the $0.000015 resistance level.