Meme coin Shiba Inu has resumed its uptrend and is now on an 8% price uptick in the past 24 hours. However, this positive momentum is contrasted by a significant decline in whale activity, as revealed through data from on-chain analytics platform IntoTheBlock.
Particularly, large Shiba Inu transactions have fallen by about 70% in the past 24-hour timeframe. This downturn in large-scale transactions could have profound implications for SHIB’s market trajectory.
Shiba Inu Whale Volume Plummets 70% In One Day
Whale transactions serve as an indicator for large-holder engagement in a crypto asset. Interestingly, this activity is relayed through the ‘Large Transactions Volume’ metric from analytics platform IntoTheBlock, which tracks the volume of SHIB transactions with a value of $100,000 and greater.
According to the metric, 5.72 trillion SHIB tokens were moved in the past 24 hours in large transactions. Interestingly, this marks a 73% decline from the 21.23 trillion SHIB that fell into this category on November 14.
In terms of value in US dollars, the cumulative value of transactions in which $100,000 and above worth of SHIB were moved came off at $145.37 million in the past 24 hours. Similarly, this comes off to a 70% decline from the $493.66 million registered on November 14. The decline is even more pronounced when compared to the $784.79 million reported on November 12, which comes off to an 81% decline in activity value in four days.
Implications For SHIB’s Price Dynamics
Despite the largely positive Shiba Inu price uptick in the past few days, whale activity hasn’t what it used to be. According to Santiment, which is another on-chain analytics platform, the recent rally in the price of meme coins like SHIB has been mostly driven by retail investors.
Now, the decline in large transactions may suggest reduced confidence or exits by whales. This reduction can lead to decreased liquidity and impact price stability.
Crypto whale transaction tracker Whale Alerts highlighted a massive transfer of 4 trillion SHIB worth $99 million between unknown wallets. The motive behind such a massive transfer is currently unknown, but the mode of the exchange points to it being a redistribution by a massive SHIB whale or crypto exchange. At the time of writing, the sender address ‘0x4221’ is holding $185.9 million worth of SHIB, while the recipient address ‘0x633b’ is holding $101.88 million worth of SHIB.
The Shiba Inu price is currently trading at $0.00002545 and is up by 7% in the past 24 hours. The buying momentum has now resumed, prompting the Relative Strength Indicator to bounce from around 33 to 69 in the past few hours. However, the decline in whale transaction activity is a key trend to keep an eye on.
Featured image from Pixabay, chart from TradingView
