Shiba Inu (SHIB) Crash

The activity of major investors, often called “whales,” in the Shiba Inu (SHIB) cryptocurrency market has significantly decreased by 84%, suggesting potential upcoming volatility in SHIB’s price. A recent analysis showed a substantial drop in large SHIB transactions, with the number of transactions over $100,000 falling by 83.77%, from 11.65 trillion SHIB to 1.89 trillion SHIB. This represents a monetary decline from $321.63 million to $47.69 million. Concurrently, the price of SHIB dipped by 2.4%.


The frequency of these large transactions, which usually reflect whale and institutional trading, has also reduced from 584 to 99 in a 48-hour span. While such a decrease in whale activity might seem negative, it could also indicate that these large-scale investors have completed their accumulation phase, potentially setting the stage for a significant price movement for SHIB. The direction of this movement, however, is uncertain. Despite the reduced whale activity, SHIB’s price has been relatively stable, with a trend of incrementally higher lows, hinting at an underlying uptrend.

Shiba Inu (SHIB) is a decentralized cryptocurrency that was created in August 2020. It’s inspired by the Shiba Inu dog breed from Japan, which is also the mascot for Dogecoin, another well-known meme cryptocurrency. SHIB is an ERC-20 token, meaning it operates on the Ethereum blockchain. 

The token started as a fun currency but quickly gained popularity and a dedicated following. The Shiba Inu community has since developed a decentralized ecosystem around the token, including a dedicated Layer 2 blockchain called Shibarium. Initially, 50% of SHIB’s total supply was sent to Ethereum co-founder Vitalik Buterin’s wallet. He donated a significant portion of his SHIB holdings to a COVID-19 relief fund in India and burned the rest, effectively removing them from circulation.

Shiba Inu also features a decentralized exchange known as Shibaswap and has introduced additional tokens like LEASH and BONE. LEASH offers incentives on Shibaswap, while BONE serves as a governance token, allowing h olders to vote on proposals in the Doggy DAO2. SHIB can be traded on various centralized cryptocurrency exchanges, with active trading pairs like SHIB/USDT. Its price and market cap have seen significant fluctuations since its inception, reflecting the volatile nature of meme coins and the broader cryptocurrency market.

Recently, the Shiba Inu (SHIB) cryptocurrency has been experiencing significant market movements. Here’s a more detailed look at the recent events:

Transfer to Exchanges
There has been a notable transfer of over 4 trillion SHIB tokens to exchanges in the past two weeks. This has led to speculation about whether SHIB’s price may have reached a peak, as such movements can sometimes indicate selling pressure.

Whale Accumulation
Despite the volatility, a whale (a term for a large-scale investor) has recently accumulated 445 billion SHIB from Robinhood2. This action suggests that some investors are still optimistic about SHIB’s price recovery and are taking advantage of the current price levels to increase their holdings.

Price Prediction
A crypto analyst has predicted a potential surge for SHIB, suggesting a 240% increase to $0.0000886 in the next phase of its price movement. However, it’s important to note that such predictions are speculative and depend on various market factors.

Current Price Stability
Despite the whale activity and market speculations, SHIB’s price has shown stability, trading mostly sideways with a pattern of higher lows4. This could indicate a consolidation phase before any significant price movement.

Market Sentiment
The overall sentiment in the market can be influenced by various factors, including the actions of influential figures or broader economic conditions. For SHIB, like many other cryptocurrencies, market sentiment can lead to rapid price changes.

In summary, the Shiba Inu token is currently at a crossroads, with significant whale activity and transfers to exchanges hinting at possible price movements. While some analysts are bullish, predicting substantial increases, the market’s inherent volatility makes it difficult to forecast with certainty. Investors and observers alike are closely watching SHIB for signs of which direction it will take next.