On May 13, the price of Shiba Inu dropped by almost 4%, causing speculation among investors. This drop occurred because a large holder, known as a “whale,” moved 100 billion SHIB tokens to Coinbase, a popular cryptocurrency exchange. Many are now curious about what this move might mean for the Shiba Inu market going forward.
A Shiba Inu whale transferred 100 billion SHIB tokens to Coinbase, sparking speculation about the cryptocurrency’s future. Many are concerned that this move could lead to further declines in Shiba Inu’s value.
Shiba Inu’s Price Correction and Whale Transfer
Against the backdrop of a recent price correction experienced by Shiba Inu over the past week, the meme coin continued a downside momentum on May 13, attracting significant investor attention. Amidst this slumping price action, a notable event occurred as a whale was observed moving a substantial 100 billion SHIB tokens to Coinbase, one of the globally leading cryptocurrency exchanges (CEXs).
This phenomenon has incited a whirlpool of speculations regarding the future price movements of the dog-themed meme coin. Despite the Shiba crypto community’s recent token-burning efforts and upgrades for the SHIB ecosystem, the continued sinking price trajectory of the meme coin has fueled bearish thoughts among investors.
Whale Transfer to Coinbase Sparks Speculation
According to data from the on-chain tracker ‘The Data Nerd,’ the whale address 0x462 deposited 100 billion SHIB tokens to Coinbase today. It’s essential to clarify that this deposit doesn’t necessarily indicate a sell transaction. However, amidst the current decline in SHIB’s price, speculations persist regarding the implications of this transfer.
Further data reveals that these tokens were acquired at an average entry price of $0.00002408. If sold at the current price, the whale would reportedly incur a loss of $178K. Upon closer examination, it was discovered that this address held no other token holdings in its wallet, except for a couple of past transactions involving SHIB.
This transfer to Coinbase, coinciding with Shiba Inu’s downward movement, has ignited speculation about a potential further price decline. The possibility that the whale might sell the tokens moved to Coinbase raises concerns about a loss of confidence in SHIB’s ability to deliver future gains.
Shiba Inu Market Snapshot and Outlook
Current Price Movement: As of the time of writing, SHIB’s price has experienced a 3.84% decline in the past 24 hours, settling at $0.00002173. Simultaneously, the meme coin’s market cap has decreased by 3.76% to $12.81 billion, while the 24-hour trading volume surged by 23.14% to $222.01 million.
Trading Activity and Derivatives Volume: Data from Coinglass highlights a 1.68% decrease in SHIB’s open interest, now at $57.99 million, alongside a significant 46.46% increase in derivatives volume, reaching $84.39 million.
Market Volatility and Technical Indicators: This data reflects heightened trading activity amidst reduced investor interest, underlining Shiba Inu’s current market volatility. Additionally, the Relative Strength Index (RSI) currently stands at 38, indicating some selling pressure on the token.
Short-term Outlook and Long-term Prospects: Technical indicators suggest a selling sentiment for SHIB, hinting at potential further dips in the short term. However, looking ahead to the long term, a post-BTC halving scenario could trigger a price rally in Shiba Inu. This optimism is further bolstered by bullish factors such as ongoing token burns and ecosystem developments.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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