Shiba Inu might be undergoing a bearish correction, but data from the chain suggests some good news and indicates something positive in the coming days. Data about the chain shows in particular that the activity among large farmers has risen positively over the past 24 hours. This data is reflected in the net flow of large holders on IntoTheBlock (ITB), which suggests a 45% increase in the last 24 hours and a 3,840% increase in the last 48 hours. This on-chain data has pointed to a contradictory dynamic between Shiba Inu whales and investors.
SHIB whales back in action
IntoTheBlocks data statistics for the inflow, outflow and net flow of large holders provide some of the most insightful insights into whale activity and their sentiment towards cryptocurrency. In the case of Shiba Inu, net flows from large ITB holders have seen a dramatic increase over the past 48 hours after an initial decline after the start of the month. Specifically, the net flow to major holder addresses on October 1st amounted to 322.7 billion SHIB tokens, up 2.944% from the negative -10.96 billion SHIB net flow in the previous days.
This sharp reversal suggests a notable shift from outflow to inflow to whale addresses. When the inflow is greater than the outflow, the net flow increases. This pattern is often seen as a bullish indicator for the cryptocurrency as it suggests whales are adopting accumulation strategies.
Interestingly, the whales have continued this activity over the past 24 hours, increasing the net flow to 420.77 billion SHIB. This value translates into a 45% increase from the previous day and a larger increase of 3,840% in 48 hours.
The SHIB whale accumulation strategy is evident from the key inflow data, which shows an inflow of SHIB 3.12 trillion into whale portfolios over the period considered, compared to SHIB 2.65 trillion in outflows.
Shiba Inu Price Outlook: Whales are diving in
The SHIB Prize broke out of one six-month downtrend in September. In particular, Shiba Inu recorded a 63% increase in ten days, with the price falling from a low of $0.00001304 on September 18 to a three-month high of $0.00002141 on September 28. Since then, Shiba Inu has made a huge correction. 24%, peaking yesterday at a low of 0.00001606. However, the accumulation of the whales and other buyers has largely prevented more losses, and the meme coin has been able to hold on by 3%, and the meme coin is now trading at 0.00001646.
The current price action looks like the SHIB bulls have established support at $0.00001609 as they have been able to defend the correction at this level several times since October 1. Despite the correction, SHIB InuIB remains relatively stable. in a good position for another run-up. Additionally, it appears that some Shiba Inu whales are taking advantage of the price drops to increase their holdings in anticipation of a price increase in October.
Featured image created with Dall.E, chart from Tradingview.com