Shiba Inu (SHIB) Whales Trigger Panic With Nearly Trillion Token Sell-off

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As a seasoned researcher with a decade of experience in the tumultuous world of cryptocurrencies, I can confidently say that yesterday’s trading session was reminiscent of a rollercoaster ride through a stormy ocean. The $1.5 billion in liquidations across the market, and the $20 million on Shiba Inu alone, is a stark reminder of the volatility we’ve come to expect from this unpredictable market.

Yesterday’s crypto market trading was quite brutal, leading to the liquidation of approximately $1.5 billion across various long and short trades. In particular, around $20 million worth of Shiba Inu (SHIB) derivatives were liquidated, predominantly open-ended futures, with a significant proportion being long positions, suggesting heavy investment in this meme-based cryptocurrency.

Over the last 24 hours, the value of the Shiba Inu token has decreased by nearly a quarter, reaching levels not experienced since late November. However, the analysis provided by IntoTheBlock on the Shiba Inu token’s on-chain data offers an intriguing perspective in this context.

During the examined timeframe, data from the Large Holder Netflow metric revealed that there was not only a decrease in the flow of Shiba Inu (SHIB) cryptocurrency to wallets controlling at least 0.1% of the total circulating SHIB supply, but an outgoing flow of approximately 940.01 billion SHIB was detected instead.

Speaking as an analyst, I’m referring to the fact that whales (large crypto holders) have liquidated nearly a billion tokens in the last day, which equates to roughly $30 million in U.S. dollars.

Since December 7th, it appears from on-chain data that there’s been a decline in the net flow of Shiba Inu tokens to larger wallets, suggesting a potential shift in activity patterns.

Even though the drop in Shiba Inu’s price wasn’t directly due to the whales selling off, it was instead a result of the broader decline in the cryptocurrency market. Regardless, the whales’ actions were commendable as they had anticipated and foreshadowed this correction.

Given the unpredictable nature of our present circumstances, as we await U.S. CPI data this week and approach January 3rd, closely observing the strategies of major market players could prove to be a wise move. Indeed, further market turbulence seems likely in the near future.

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2024-12-10 14:17