Shiba Inu Set to Rise or Fall? “Ancient” Whale Shakes Up Market with 100 Billion Tokens
The crypto market is abuzz after a Shiba Inu (SHIB) “whale” who has been dormant for more than three years suddenly transferred 100 billion SHIB – worth about $1.2 million to Binance. The move not only caught the attention of analysts but also caused the price of SHIB to fall by more than 3% in the past 24 hours, as the meme coin struggled to hold onto a key support zone.
“The Whale Wakes Up” and Its Immediate Impact on SHIB Price
According to data from blockchain transaction tracking platforms like IntoTheBlock, the large wallet address that was worth nearly $3 million during SHIB’s peak in 2024 now only holds an actual profit of about $311,000 after the transfer.
Immediately after the trade, SHIB recorded a 3% price drop, raising concerns that whales were “dumping” after a long period of hoarding. This has also put pressure on the price in the short term, as SHIB struggled to stay above the support zone around $0.00001258.
Will Other Whales Follow?
With the price fluctuating in the sensitive zone, many analysts believe that SHIB is facing a decisive threshold. If it breaks through two converging resistance levels around $0.000014, the meme coin could see a new breakout provided there is strong support from trading volume and positive sentiment from large investors.
However, the current technical signals remain conflicting. The Chaikin Money Flow (CMF) indicator is at -0.01, indicating a slight outflow of money a bearish sign. Meanwhile, the Stochastic Relative Strength Index (StochRSI) fluctuates between 45 and 69, reflecting the market's hesitation and indecision.
A rare bright spot is that SHIB has bounced from the lower band of the Bollinger Band (BOLL), suggesting a possible short-term bottom. If the price can close above the middle band of the Bollinger Band in the next few sessions, the bulls could regain control.
Unfavorable Market Context
Despite signs of technical recovery, the macro picture remains cloudy. The overall crypto market sentiment is shifting from "greed" to "mild fear", especially after the public tension between billionaire Elon Musk and former President Donald Trump - two figures with strong influence in the crypto community.
Additionally, the SHIB token burn rate which is often expected to increase the value of the token has dropped by more than 60% in just one day, further weakening the short-term bullish momentum.
Why This Matters
A large address moving billions of tokens in one go could be a sign that an upcoming trend is forming especially when it comes from wallets that have been dormant for years. Additionally, whale behavior can often influence both market sentiment and price action, especially for highly speculative meme coins like SHIB.