Shiba Inu (SHIB) is on the verge of breaking the 81 trillion mark

After weeks of relatively stable exchange balance, the Shiba Inu is once again approaching a critical threshold in the chain. Currently trading around $0.0000058, the meme-based asset is poised to stabilize after a prolonged decline that took the token to multi-month lows earlier this year.

The road to recovery is not simple

While there are early signs of consolidation in price action, major exchange rates are moving in ways that could make future recovery more difficult.

The market is currently approaching the cap of 81 trillion tokens, and one of the most important developments is the return of exchange imports, which brings the total amount of SHIB held on trading platforms back to 80 trillion tokens.

The entire amount of cryptocurrency available on centralized exchanges is represented by exchange reserves. An increase in this balance usually means that more holders are transferring assets to the exchanges, usually in preparation for selling or increasing liquidity.

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This is a particularly important trend for the Shiba Inu. Reductions in exchange reserves often helped to maintain price stability in the early stages of a recovery by reducing immediate pressure to sell.

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However, the recent resurgence in imports is likely to cause some owners to exit the market if price momentum declines again.

The SHIB chart shows a general bearish structure from a technical point of view. The 26-day and 50-day exponential moving averages, which work as resistance levels, are among the important moving averages that the token is still below. The market is trying to establish a base as indicated by the recent price action, which forms a small consolidation pattern after a series of highs.

The token can trigger a sustained recovery trend if buyers are able to push SHIB past nearby resistance zones and restore this moving average. However, investors cannot ignore the risk factor caused by the growing foreign exchange reserves.

High volatility often follows an increase in exchange liquidity. Any recovery attempt could be quickly halted if a large amount of those newly transferred tokens enter the market as sell orders.