Shiba Inu formed a dead cross on a 30-minute chart, weakening its short-term rebound. Whale investors nonetheless moved 75.7 billion SHIB off exchanges over the past 24 hours to buy at lower prices.

On July 7 (local time), blockchain media outlet The Crypto Basic reported that Shiba Inu showed a bearish signal on short-term charts, but net outflows from exchanges continued.

The signal came from the 30-minute chart. A warning said short-term upward momentum had weakened as the 200-day moving average moved above the 50-day moving average. A dead cross is typically formed when a long-term moving average breaks above a short-term moving average, and is interpreted as a sign that buying momentum is slowing and the existing uptrend could end.

Shiba Inu earlier this week fell to $0.00000426 before rebounding and briefly forming a golden cross. At the time, the 50-day moving average rose above the 200-day moving average and the price climbed to $0.00000447, up about 5 percent from the low. It failed to break resistance in that range and then pulled back to $0.00000436. The dead cross formed again during that decline.

The market is also split on the signal. Some view the dead cross as a "lagging indicator." They see it as reflecting a decline that has already occurred and say it is difficult to conclude it signals further falls ahead.

Even so, it is clearly a short-term bearish signal. In particular, it is unwelcome for Shiba Inu buyers who had been expecting a sustained recovery in that range. Some expect the impact could be limited because the crossover occurred on a lower timeframe, but if the same signal appears on higher timeframes it is more likely to be taken as confirmation of weakness.

If the price falls further, key support levels were cited at $0.00000241 and $0.00000155. Another view said it could open the way to $0.0000010 if bearish pressure strengthens further.

Supply and demand signals, however, pointed in the opposite direction. CryptoQuant exchange netflow data showed a net outflow of 75.7 billion Shiba Inu tokens over the past 24 hours. Netflow turns negative when outflows exceed inflows, and a negative reading of 75.7 billion SHIB was confirmed. This means investors moved that many tokens off exchanges the previous day.

This pattern has continued recently. Shiba Inu holders have been building positions at lower prices and then moving tokens to self-custody wallets rather than keeping them on exchanges, indicating a move toward long-term holding. If circulating supply on exchanges declines, selling pressure may also ease.

In this situation, Shiba Inu has entered a phase where technical bearish signals and whale accumulation are confronting each other. Concerns have grown that the short-term rebound is ending, but if the amount leaving exchanges continues to rise, there is still room for recovery expectations to revive on the supply-demand side. The next points to watch are whether bearish signals spread on higher-timeframe charts and whether net outflows from exchanges continue.