Following a massive surge of over 250%, Shiba Inu (SHIB) has experienced a significant price drop, falling below the $0.00003 threshold. This decline coincides with a large-scale transfer of SHIB tokens by a whale wallet to cryptocurrency exchanges, raising concerns about a potential sell-off.
Shiba Inu (SHIB) Whale Activity
On March 15, crypto whale tracking platform Whale Alert (@whale_alert) reported a substantial movement of SHIB tokens to crypto exchanges. An unidentified wallet transferred a staggering 1 trillion SHIB ($28.8 million) to Gate.io, a prominent cryptocurrency exchange.
Read Also: New Shiba Inu Whale Moved 4 Trillion SHIB From Crypto Exchange Wallet. Here’s the Significance
This transaction, which occurred at 09:38 UTC, aligned with a sharp decline in SHIB’s price, which dipped to a low of $0.0000277 before recovering slightly.
🚨 🚨 1,000,000,000,000 #SHIB (28,814,000 USD) transferred from unknown wallet to #GateIOhttps://t.co/YDmMp9kmrg
— Whale Alert (@whale_alert) March 15, 2024
Further investigation into the whale wallet’s activity reveals a history of SHIB token acquisitions. In January, the wallet received 1.44 trillion SHIB across multiple transactions. These tokens originated from Binance and Gate.io, with 546 billion SHIB arriving from Binance on January 8 and over 895 billion SHIB transferred from Gate.io between January 9 and 18.
SHIB attempted to climb back above $0.00001 at the time of these acquisitions. The whale wallet held onto these tokens until February 7, then sent 500 billion SHIB to Gate.io. However, the funds were routed through an intermediary wallet.
Shortly after this February outflow, the whale wallet replenished its holdings by acquiring another 300 billion SHIB from Binance and Gate.io. This activity continued until March 15, when the wallet sent 241 billion SHIB to Binance and performed the aforementioned transaction two minutes later, leaving a balance of 0 SHIB and 0.19 ETH.
We are on twitter, follow us to connect with us :- @TimesTabloid1
— TimesTabloid (@TimesTabloid1) July 15, 2023
Read Also: Gate.io Proof-of-Reserves Audit Shows User Asset Reserves Exceed 100%
Will Shiba Inu (SHIB) Bounce Back?
Whale transactions, which have become common in the SHIB ecosystem, are typically interpreted by investors as a precursor to selling activity. This interpretation is further reinforced by the ongoing downtrend in the broader cryptocurrency market, which has negatively impacted the price of the crypto asset.
Despite the decline, the digital asset has kept a significant portion of its gains. The meme coin is trading at $0.00002919, down 8.34% in the past 24 hours and 17.12% in the past week. However, SHIB is up 192.45% over the past month, faring better than most other cryptocurrencies.
While the short-term outlook for SHIB’s price remains uncertain, the recent whale activity and broader market conditions suggest potential downward pressure. However, the sustained increase for March inspires hope. Google Gemini has predicted a price increase for SHIB by the end of 2024, suggesting that SHIB will not stay down.
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