More than 440 billion Shiba Inu (SHIB) tokens have left exchanges over four days after the token set a short-term low, focusing market attention on the possibility that large investors are accumulating at lower prices. The price remains weak, but exchange liquidity is shrinking quickly, prompting analysis that volatility could increase.

According to blockchain outlet U.Today on June 28 local time, CryptoQuant data showed net outflows from exchanges for Shiba Inu began in earnest right after it fell to $0.00000415 on June 25. Investors started moving Shiba Inu held on exchanges to personal wallets and other destinations, and withdrawals continued.

The most notable change is supply and demand rather than price. Shiba Inu's daily relative strength index, or RSI, fell to 21.84 on June 25, entering an extreme oversold zone. RSI readings below 30 are generally seen as oversold, and this time it fell into the low 20s, showing sharply weakened investor sentiment.

But right after the sharp price drop, large investors appeared to move into accumulation. Over the first 24 hours, net outflows from exchanges reached 158.353 billion SHIB, reducing the amount that could be sold immediately on the market by the same margin.

The pattern continued. From June 25 to June 28, net outflows from exchanges stayed in negative territory, and analysis suggested new limit buy orders came in even as the Shiba Inu price again showed a mild decline on June 27. Cumulative net outflows over four days expanded to 443.2505 billion SHIB.

This differs from a typical bearish market move. When prices plunge, investors usually send coins to exchanges to sell, but this time exchange balances kept falling instead. That implies circulating supply remaining on exchanges is being absorbed by large investors.

Shiba Inu is currently moving in a narrow range around $0.0000041. Recent candle sizes have been shrinking as it searches for direction, but exchange withdrawals continue. On the supply side, selling pressure appears to be easing gradually.

Factors still remain that make it difficult to be optimistic about a short-term rebound. One of the oldest whale addresses sold about 3.8 trillion SHIB in a distributed manner this month. In the futures market, $2.38 million also left in a day, lowering market volatility. Analysis said this profit-taking and the contraction in derivatives markets are limiting the speed of any short-term rise.

Even so, signals worth watching remain on the supply-demand side. The price zone with the largest trading volume is around $0.00000500, above the current price, and the amount shown in exchange order books is also continuing to decline. This has raised the possibility that if strong new buying comes in, a short squeeze could occur, sending prices up quickly because of a shortage of sell orders.

U.Today analysed that if large-scale buying flows in while exchange order books are thinning overall, prices could recover to the medium-term average purchase price in a short period.

Ultimately, while Shiba Inu still looks weak on price alone, the market has entered a phase where supply is leaving exchanges while large investors accumulate at lower prices. In the short term, whale profit-taking and futures-market outflows are limiting gains. If shrinking exchange liquidity continues, price volatility could widen again, analysis said.