Shibarium Hack Leads to $2.4M Loss, Shina Inu Price Drops 3.81%

Shina Inu's latest price was $0.06, down 3.81% in the last 24 hours. The token has been experiencing volatility, but it has managed to hold support at a critical level. The market indicators for Shina Inu are being scrutinized, as the trading volume points to both positive and negative sentiments. The token has been moving in a tight range, between a support level and a resistance level, which is significant for short-term sentiment. This range coincides with a greater accumulation phase noted on the long-term chart, which analysts are tracking closely.

Despite the volatility, the market cap of Shina Inu remains significant, indicating its persistence among leading tokens. The weekly decline highlights that upward continuation requires a stronger shift in demand. This price stability builds a base for possible momentum if volumes expand near resistance. The Relative Strength Index (RSI) for Shina Inu is higher than the midpoint value, implying moderate purchasing power. The RSI has been recovering from past oversold areas, which gives a clue on the continued support in the market. The MACD reflects a slightly positive divergence, suggesting gradual recovery momentum as the price attempts to challenge resistance. Market participants remain cautious, however, since minor corrections could still occur within the range.

Examining the broader chart reveals that Shina Inu has been moving within a defined horizontal channel. The price action indicates repeated tests of both upper and lower boundaries, with the current level resting in a potential accumulation area. Historical data shows that similar setups preceded stronger market activity. The token’s capitalization remains significant, underscoring its liquidity across trading pairs. This factor adds weight to Shina Inu’s potential moves if volume increases. The resistance will be closely observed as traders assess whether Shina Inu can build momentum beyond its short-term ceiling.

Shina Inu has formed a falling wedge on the 4-hour chart, signaling a potential move toward a higher level if buyers regain momentum. On-chain metrics, such as the Binance long/short ratio, show dominant bullish positioning despite a recent decline. The falling wedge pattern suggests an upside target if confirmed. Short-term indicators are mixed, with the Supertrend remaining bearish while the RSI sits in neutral territory, pointing to consolidation with upside potential if volume returns. Technical patterns indicate an upside target if Shina Inu breaks above the wedge. Confirmation requires a decisive 4-hour candle close above the wedge boundary accompanied by rising volume. TradingView technical snapshots and pattern history support wedge breakouts as a common outcome, but false breaks can occur without volume confirmation.

On-chain and derivatives flows show increased bullish positioning even while the price consolidates. CoinGlass data indicates a Binance SHIBUSDT Long/Short ratio, meaning a significant percentage of traders are long and a smaller percentage are short. That concentration of longs raises the potential for leveraged squeezes if the price moves quickly. 24-hour trading volume has dipped, which weakens breakout conviction until volume returns. Major liquidation clusters sit around certain levels, where roughly significant amounts of long and short exposure are concentrated. A confirmed breakout requires a 4-hour candle closing above the wedge with above-average volume. If this occurs, an initial move toward a higher level becomes likely; absent volume the pattern risks failure and continued consolidation. Traders should monitor the Binance long/short ratio, liquidation clusters, and 24-hour volume changes. Rising volume with a higher long/short ratio supports bullish moves; sudden liquidation spikes can accelerate price swings.

Shibarium, the layer-2 blockchain closely linked to Shina Inu, remains offline weeks after suffering a major hack. Developer Kaal Dhairya confirmed that the bridge to Ethereum is still suspended, leaving users unable to transfer funds back to the main network. The team has not set a date for reopening, emphasizing that security checks and verification come before speed. The breach occurred and was first flagged by security firm PeckShield. Attackers exploited validator vulnerabilities, gaining control of keys and using them to approve fraudulent transactions. This allowed them to siphon off roughly $2.3 million worth of assets, including ETH, SHIB, and ROAR. The Shina Inu team later validated the findings, calling the incident one of the most severe disruptions in the project’s history. Since then, developers have adopted a cautious communication strategy. Updates are being shared only through official channels, while sensitive details are being withheld to prevent giving the attacker an advantage. The focus now is on containment and reinforcing system security to ensure that a similar exploit cannot happen again.

One of the biggest uncertainties surrounds asset recovery. Dhairya has said that discussions are ongoing, but no plan has been finalized. If the funds cannot be reclaimed through investigations or bounty programs, alternatives such as drawing from the treasury, burning tokens, or tapping into insurance reserves are being considered. Any proposal would need approval from the community before implementation. For investors and token holders, the prolonged shutdown of Shibarium is raising questions about trust and stability. The incident comes at a time when layer-2 projects are under growing scrutiny, and the outcome of Shina Inu’s response could influence how its ecosystem is perceived in the broader market.

Recent developments surrounding the Shina Inu ecosystem have been dominated by significant security concerns impacting its associated layer-2 blockchain, Shibarium. Reports confirm that Shibarium suffered a major exploit resulting in the loss of approximately $2.3 million to $2.4 million. This incident has directly impacted perceptions of the network's security and stability within the cryptocurrency community.

The fallout from this security breach remains actively managed weeks after its occurrence. Shibarium's bridge functionality, critical for transferring assets between different layers, remains intentionally suspended at the time of reporting. This suspension is a security measure implemented to prevent further unauthorized access and potential fund movement. The protracted downtime underscores the complexity of addressing the vulnerability exploited in the attack.

Separately, shifts in the distribution of the Shina Inu token itself have been observed. Analysis indicates a substantial movement of tokens away from centralized exchanges, suggesting a large-scale withdrawal amounting to approximately 5 trillion SHIB tokens. Such movements typically signal a change in asset holding strategies among participants, potentially indicating a preference for longer-term storage or alternative utility deployment outside of trading platforms.