Dog themed meme coin, Shiba Inu (SHIB) could be on the cusp of a major market downturn as recent data shows a major crash in the cryptocurrency transaction volume of whales. This sharp decline in whale activity could have far-reaching implications for the price outlook, signaling a possible decline.
Shiba Inu Whale Trade Plummets to Shocking Lows
New facts from IntoTheBlock has revealed a significant drop in major volume Shiba Inu Transfersusually created by ‘Whales’, individuals known for conducting large-scale crypto transactions. On October 1, Shiba Inu’s major transaction volume rose to 8.27 trillion, reflecting a positive rise in investor sentiment towards the meme coin.
Currently, these transactions have fallen to a shocking low of approximately 1.39 trillion, which represents a massive drop of 83.2%. In USD terms, IntoTheBlock shows that high transaction volumes increased to $135.84 million, but fell to $25.2 million. The decrease in this Shiba Inu statistic suggests a possible shift in investor confidence from earlier last month, when the price of Shiba Inu had risen to about $0.00002.
SHIB is currently losing momentum compared to other meme coins like Dogecoin whales show less interest when participating in trade and transactions. According to IntoTheBlock data, whale activity has steadily declined, with large transaction volumes falling from 5.55 trillion on October 2 to 2.62 trillion on October 3, and then to 1.6 trillion on October 6. This means that in just one week the number of transactions has increased. fell by an astonishing 6.88 trillion.
Considering the influence that whales have on the price of a cryptocurrencythis unprecedented decline in high transaction volume could negatively impact the price of Shiba Inu. Although the meme-based cryptocurrency has witnessed a recent price increase from about 6.94% in the last 24 hours, Shiba Inu is also down 1.43% in the last week. At the time of writing, the cryptocurrency is also trading at $0.000018, according to CoinMarketCap.
SHIB price drop signals potential buying opportunity
If Shiba Inu faces market volatility and experiencing a decline in whale transactions, an outspoken Shiba Inu supporter, identified as ‘SHIB Bezos’ on X (formerly Twitter), continues to say confidence in the future prospects of the meme coin.
The SHIB supporter did declared that SHIB could eventually enter oversold territory, where the price would fall lower than its actual value. After this, he predicts that Shiba Inu can make a strong comeback and recover strongly after the selling pressure subsides.
Considering the the potential of meme coins for a reboundSHIB Bezos has stated that every drop in the price of Shiba Inu offers a chance to buy the meme coin at a discount. He also recommended that investors hold their SHIB tokens for at least 5 to 10 years, anticipating the potential growth over time.
Featured image created with Dall.E, chart from Tradingview.com