Shiba Inu is under mounting pressure as large-scale token sales trigger widespread concern across the market. Over the past 48 hours, data reveals a significant increase in selling activity, particularly from two influential investor groups—whales and retail participants. The result has been a surge in sell-side volume, signaling a potentially bearish phase for the popular token.

According to data from blockchain analytics firm IntoTheBlock, whale investors offloaded 359 billion SHIB tokens within a single day—a dramatic 229% increase from previous figures, which showed 109 billion tokens sold. This sharp uptick in outflows from major holders suggests a decisive shift in sentiment among the asset’s largest stakeholders.

Supporting this, the Large Holders’ Netflow metric dropped to a monthly low of just 4 billion SHIB, pointing to a trend of aggressive distribution rather than accumulation. In the context of digital asset markets, such a trend among whales often reflects a pessimistic outlook, where major holders anticipate further downside and act preemptively to secure profits or limit losses.

However, the selling activity isn’t limited to high-net-worth participants. Market data indicates that a broader selloff is underway, with traders across all tiers appearing to reduce their exposure. On-chain analytics show a deeply negative buy/sell volume imbalance of over 134 billion SHIB tokens. This means that more sell orders are being executed than buy orders, further amplifying downward pressure on the asset’s value.

In total, more than 1.2 trillion SHIB tokens have been sold in recent sessions, reflecting a broad-based exit from the asset. This imbalance indicates that bearish sentiment is not isolated but has spread across the market, driven by fears of further declines or frustration over recent performance.

Exchange-related metrics are also flashing warning signs. The Exchange Flow Balance for SHIB turned positive, currently sitting at 5.3 million SHIB. A positive balance here signals that more tokens are being deposited into exchanges than withdrawn—typically a precursor to selling activity, as investors move assets to platforms where they can liquidate their positions.

Additional data from CryptoQuant confirms this bearish trend. On May 2nd, SHIB recorded a net exchange inflow of 231 billion tokens. Although this figure has since moderated, the total netflow over the last two days stands at a staggering 252 billion SHIB tokens. A sustained positive netflow over several days is a classic indicator of market-wide distribution, where more investors are preparing to sell than to hold.

Historically, such patterns—high exchange inflows and large-scale sell-offs—have preceded significant price corrections. This imbalance between supply and demand may exert downward pressure on SHIB’s valuation in the near term, especially if buyers remain on the sidelines.

As expected, this surge in selling activity has already taken a toll on Shiba Inu’s price. At the time of writing, SHIB was trading at $0.00001324, marking a 1.84% drop over the last 24 hours and an 8.4% loss on the weekly chart. The steady decline reflects prevailing bearish sentiment and uncertainty about the token’s short-term prospects.

If current trends continue, analysts suggest that SHIB could decline further, potentially revisiting the $0.00001274 support level. This would represent a deeper correction and could trigger even more selling if investor confidence continues to erode.

However, not all hope is lost. A shift in momentum, with increased buyer interest and positive price action, could pave the way for a rebound. For SHIB to regain upward traction, it would need to close above $0.00001376 on the daily chart and maintain support above $0.00001397. Until then, the market remains at a pivotal point, with sellers currently holding the upper hand.

The coming days will be crucial in determining whether Shiba Inu can stabilize—or if further downside is on the horizon.