Smaller cryptocurrencies like Shiba Inu have benefited from the cryptocurrency market rebound, with the bulk of tokens recovering up to 50% of their value. Unfortunately for investors, the market’s recovery was as quick as its expansion.
The rise in net flow
Shiba Inu’s net flow has surged by more than 850 percent in the last 24 hours, according to statistics from the WhaleStats tracking service, indicating a positive flow of cash into the market. The surge could be attributed to a number of causes, including the market’s minor recovery following the weekend trading session.
Despite the fact that the market was going upwards at the start of the day, the majority of assets in the top ten assets listed by market capitalization are currently losing value, according to CoinMarketCap.
The same can be said for Shiba Inu, which is consolidating despite increased inflows of cash. Despite the significant rise, the net flow on Shiba Inu is still $7 million negative, indicating that more Shiba Inu were sold than acquired on the market in the last 24 hours by whale-tier addresses.
The impact of net flow on price
Because tokens and coins tend to move in the direction of funds, the net movement of assets usually has a direct impact on the price of an asset. When whales exit the market and sell their holdings, retail traders follow, resulting in a market asset’s poor performance.
The continual burning events that reduce the quantity of tokens in circulation on the market are a big aspect of SHIB’s strong market performance. Shiba Inu prices have climbed by about 50% in the last ten days, according to TradingView.