Why did Shiba Inu rebound today? What do market sentiment and on-chain data say?

In the past couple of days, while analyzing on-chain data, I found that Shiba Inu's performance isn't as bad as it seems. Although it did experience a prolonged decline (over 50% drop in the past year), the recent 24-hour price movement actually increased by 0.30%, which gives some hope to holders.

It appears that the main selling pressure comes from large investors' movements. Reports indicate that a significant amount of SHIB tokens have been transferred from a major exchange to long-term holder addresses. This situation is often seen as a positive signal—large investors accumulating. But the problem is, on-chain activity metrics remain weak, with trading volume and active addresses not looking optimistic, causing many retail investors to reconsider whether they should continue accumulating Shiba Inu.

Honestly, the current atmosphere is somewhat reminiscent of the 2022 bear market. Investors are guessing where the bottom is or whether this decline will worsen. As a highly speculative meme coin, Shiba Inu's volatility isn't surprising, but this ongoing weakness is definitely testing people's resolve.

However, the latest data shows signs of a rebound for SHIB, and the key is whether more capital can flow in to break the deadlock.