Despite these strongly bullish on-chain developments and a record holder count, the meme coin’s price remains under pressure amid negative funding rates and broader market caution.

Accelerating Deflationary Pressure

According to SHIB burn trackers, over 5.67 million SHIB tokens were permanently removed from circulation in the past 24 hours, representing a staggering 710% increase from prior daily levels. This surge contributed to more than 23.7 million SHIB burned in the last seven days and nearly 188-197 million over the past month.

Cumulative burns now exceed 410 trillion SHIB — more than 41% of the original one quadrillion supply — significantly tightening the token’s circulating supply. Community-driven burn initiatives continue to gain traction, reinforcing SHIB’s deflationary narrative even as ecosystem activity on Shibarium shows mixed signals.

Major 2026 Supply Squeeze Unfolds

Compounding the burn activity, an extraordinary 374 billion SHIB tokens exited centralized exchanges over the past seven days. Exchange reserves have plummeted to approximately 82.31 trillion SHIB, marking 2026 lows and signaling strong accumulation by long-term holders and whales.

Notable whale movements included a single address transferring 134 billion SHIB from Binance to cold storage, further reducing immediate selling pressure. These outflows are among the largest observed this year and point to growing conviction among large investors.

Holder Count Reaches New All-Time High

Shiba Inu’s holder base has surged to a fresh record of 1,585,022 addresses, adding over 1,100 new holders in a single day. Daily active addresses have climbed above 150,000, while trading volume recently spiked near $130 million. These metrics reflect renewed retail and community interest despite price consolidation.

India Emerges as SHIB Trading Powerhouse

Geographic demand indicators are also turning positive. On WazirX, India’s leading crypto exchange, SHIB ranked among the top five most traded assets in April, placing second behind Bitcoin. Strong participation from Indian traders underscores the meme coin’s global appeal and retail-driven momentum in key emerging markets.

Derivatives Data Flashes Caution for Bulls

While on-chain fundamentals paint a constructive picture, derivatives markets tell a more cautious tale. SHIB’s long-to-short ratio has dropped to 0.49, with open interest-weighted funding rates turning negative at approximately -0.0061%. These signals suggest growing bearish positioning among leveraged traders and potential near-term resistance to upward moves.

Technically, SHIB is trading near $0.0000065 after a modest breakout from a prolonged consolidation range. Support holds around the 100-day EMA near $0.0000064, with resistance at $0.0000068. A failure to defend key levels could see a retest of lower supports near $0.00000573.

Expert Pushes Back Against New Investor Warnings

Market commentator LuckSide Crypto has dismissed recent cautionary reports targeting new SHIB investors, arguing they overlook improving fundamentals such as rising holder counts, declining exchange supply, and ecosystem resilience. He noted that speculative sentiment is common across crypto assets and highlighted SHIB’s potential for further gains if broader market momentum persists.

Broader Market Context

SHIB’s performance occurs against a mixed macroeconomic backdrop. Bitcoin hovers near $81,000, while investors await U.S. inflation data and developments around the CLARITY Act, which could provide greater regulatory clarity for digital assets. These external factors continue to influence risk appetite for high-beta tokens like SHIB.

As supply dynamics tighten and community engagement remains robust, Shiba Inu finds itself at a critical juncture. Whether these positive on-chain signals can overcome short-term derivatives pressure and translate into sustained price appreciation will be closely watched by the crypto community in the coming days.