Shiba Inu (SHIB), the popular meme cryptocurrency, is demonstrating renewed strength after decisively breaking out of a multi-week symmetrical triangle pattern. This positive technical development is attracting the attention of major investors, highlighted by a newly activated whale address accumulating a large amount of SHIB tokens.
Whale Accumulates Massive SHIB Stash
Data from Etherscan has shown that the newly activated whale address accumulated a staggering 237,868,630,126 SHIB tokens, valued at roughly $6.44 million at the time of the transaction.
Read Also: New Born Shiba Inu Whale Accumulates 4.41 Trillion SHIB in a Single Transaction
Interestingly, the Shiba Inu purchase was just one component of a broader asset acquisition strategy. Within a mere six-minute span, this whale address also amassed substantial holdings in Ethereum (ETH) and FTX Token (FTT). The whale initially received 500 ETH (worth approximately $1.59 million) followed shortly by 101,844 FTT ($160K+). The SHIB transaction occurred just three minutes later.
Notably, these transactions mark the whale’s first recorded activities. Currently, the whale’s portfolio primarily consists of SHIB, ETH, and FTT, with Shiba Inu tokens comprising 57.4% of its total holdings, surpassing even Ethereum. Further analysis reveals that all assets appear to originate from a single centralized exchange source.
Drop in Selling Pressure Amid SHIB’s Breakout
On-chain data from platforms like CryptoQuant indicate a consistent trend of SHIB withdrawals from exchanges, resulting in a significant decline in exchange reserves. Currently, exchange reserves hold approximately 150.7 trillion SHIB. This trend suggests investors are moving tokens into offline storage for long-term holding, signaling reduced selling pressure.
This bullish sentiment coincides with Shiba Inu’s recent breakout from a symmetrical triangle pattern, within which it traded for over a month. After facing persistent resistance since its March 5th high of $0.00004567, SHIB surged on April 20th, decisively breaking above the triangle’s upper trendline with a 14.43% intraday gain.
According to data from CoinMarketCap, SHIB is currently trading at $0.00002683 and enjoys a position above both the triangle formation and its 50-day Exponential Moving Average (EMA), located near $0.0000247.
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Read Also: New Born Whale Grabs 4.49 Trillion SHIB in Single Transaction Ahead of Shibarium Launch
This technical setup points to further gains in the near term, leading some analysts to project a potential rally toward the $0.00003946 price level. Other analysts however have more bullish predictions for SHIB post Bitcoin’s recent halving.
The world of cryptocurrency investing is inherently volatile. Potential investors must conduct their own extensive research, gain a thorough understanding of market forces, and carefully consider their risk tolerance before making any investments.
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