Shib Inu Shake-Up: Whales Retreat Signals Price Plunge Ahead

An alarming trend of the popular meme cryptocurrency Shiba Inu (SHIB) is emerging behind the scenes. Key on-chain metrics indicate a dramatic drop in the activity of the major players, known as “whales” in crypto parlance. This could have significant implications for SHIB’s price momentum.

Data from blockchain analytics platform IntoTheBlock reveals that the volume of large SHIB transactions plummeted by a staggering 42.86% over the past 24 hours. The value of these transactions, defined as those worth at least $100,000, fell from $162.45 million to just $91.87 million. In total, there were 201 such whale-sized deals during this period.

Source: IntoTheBlock

Furthermore, the steep decline in capital inflows and outflows to and from wallets holding a minimum of 0.1% of the meme token’s circulating supply is further evidence of the dwindling interest in SHIB whales. However, the “Large Holders Inflow” metric shows that inflows to these heavyweight wallets plunged sevenfold overnight, amounting to just 501.2 billion SHIB.

Source: IntoTheBlock

Moreover, outflows from the major players’ wallets painted a similar picture, dropping by 86% from the previous day to 499.54 billion SHIB. This departure of funds from whale wallets suggests a potential shift in sentiment among the market’s most influential participants.

Shiba Inu Whales Retreat: Implications For SHIB’s Price Outlook

Notably, this contraction in whale activity coincided with lacklustre price action for the Shiba Inu token. SHIB has printed its fourth consecutive lower high on the daily chart following March’s explosive near 400% price pump. Typically, market interpreters view such a pattern as signalling bearishness, suggesting a potential loss of upside momentum.

Source: CoinMarketCap

Moreover, while decreasing volatility is evident on the SHIB chart, the meme token’s prospects for recapturing its March highs appear bleak until it surpasses March’s peak and the previous high from early April. The waning interest in whales only compounds the bearish narrative, as their financial firepower often dictates the direction of liquidity flows and broader market trends.

As the Shiba Inu community closely monitors these developments, the future trajectory of the memecoin may hinge on whether the whales decide to reignite their participation in the SHIB ecosystem.

Related Reading | Tron Blockchain Founder Backs Changpeng Zhao Ahead Of Sentencing

Furthermore, the author’s views are for reference only and shall not constitute investment advice. Before purchasing, please ensure you fully understand and assess the products and associated risks.

Comments (No)

Leave a Reply