In recent weeks, Shiba Inu has failed to become the hot topic in the meme coin market as the launch of Shibarium failed to generate enough buying pressure to challenge put holders. As a result, SHIB price remained stuck within a bearish consolidation range, building selling pressure for a significant downturn in the days to come. However, whales are quite intelligent; they continue to trade large, indicating a “buy the dip” moment for the SHIB price.
Whales become active as SHIB decreases
The price of Shiba Inu is not making headlines for its market performance, but what is really interesting is the sudden increase in whale activity. Data from IntoTheBlock shows that the number of large transactions, commonly referred to as “whale transactions,” on the Shiba Inu network has risen from a low of 13 to a high of 51. The high was 74 on Sept. 6, indicating increased whale activity. on the market.
This could indicate a phase of accumulation, as whales could hold SHIB tokens, possibly in preparation for an upcoming price hike or other major event. In addition, there is a clear decline in the inflow of large investors.
Data shows that the inflow volume has dropped from 4.81 trillion SHIB tokens to just 219.9 billion tokens on September 7, representing a drop of more than 95%. This points to strong holding sentiment among whale investors as fewer SHIB tokens are deposited on exchanges. Such a trend could reduce selling pressure on the SHIB price, which would inspire confidence among those taking long positions.
In addition, a reduction in the number of large transactions may be a sign of a more stable and less volatile market environment. Whales, known for their market-moving trades, often contribute to price volatility. A decrease in significant inflows indicates that the SHIB may be less sensitive to price movements.
What’s next for the SHIB price?
Bears are currently intensifying their selling pressure near the EMA50 trendline as SHIB price has reversed its trend. Currently, sellers are trying to steer the price below the crucial USD 0.0000073 support; however, buyers vigorously defend a decline. At the time of writing, SHIB price is trading at $0.00000754, down more than 0.8% from yesterday’s price.
Nevertheless, resistance during the 20-day EMA is expected to be strong as the bears are likely to do battle. If the price continues to fall, the bears can successfully push SHIB price below $0.0000073. If reached, it could pave the way for a further drop to the next support level near USD 0.000006.
Conversely, a break above the 50-day EMA could indicate weakening selling pressure. This could pave the way for a rally towards the channel’s trendline and possibly even further towards $0.0000087.