Shiba Inu Coin resumed its upward trend and its price has now increased by 8% in the last 24 hours. However, this positive dynamic is contrasted by a significant drop in whale activity, as revealed by data from on-chain analytics platform IntoTheBlock.
In particular, large Shiba Inu transactions have fallen by around 70% in the last 24 hours. This slowdown in large-scale transactions could have profound implications for SHIB’s market trajectory.
Shiba Inu whale volume drops 70% in one day
Whale transactions serve as an indicator of large holders’ commitment to a crypto asset. It is interesting to note that this activity is relayed through the “Large transaction volume” indicator from the IntoTheBlock analytics platform, which tracks the volume of SHIB transactions valued at $100,000 and above.
According to the metric, 5.72 trillion SHIB tokens were moved in the last 24 hours in large transactions. Interestingly, this represents a 73% drop from the 21.23 trillion SHIB falling into this category on November 14.
In terms of US dollar value, the cumulative value of transactions in which $100,000 and above of SHIB was transferred amounted to $145.37 million over the last 24 hours. Likewise, this represents a 70% drop from the $493.66 million recorded on November 14. The drop is even more pronounced compared to the $784.79 million reported on November 12, which corresponds to an 81% drop in activity value in four days.
Implications for SHIB Price Dynamics
Despite the largely positive increase in the price of the Shiba Inu in recent days, whale activity is no longer what it used to be. According to Santiment, which is another on-chain analytics platform, the recent rise in the price of meme coins like SHIB has been mainly driven by individual investors.
Today, the decline in large transactions may suggest a loss of confidence or an exit of the whales. This reduction may result in reduced 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 for such a massive transfer is currently unknown, but the mode of exchange indicates that it is a redistribution by a massive SHIB whale or crypto exchange. At the time of writing, the sender’s address ‘0x4221’ holds $185.9 million worth of SHIB, while recipient address ‘0x633b’ holds $101.88 million worth of SHIB.
Shiba Inu price is currently trading at $0.00002545 and is up 7% in the last 24 hours. Buying momentum has now resumed, causing the Relative Strength Indicator to rebound from around 33 to 69 over the past few hours. However, the decline in whale trading is a key trend to watch.
Featured image from Pixabay, chart from TradingView