The dog-themed cryptocurrency Shiba Inu (SHIB) is seeing a significant increase in whale movements, with large transaction volumes increasing by 258% in the last 24 hours, according to data from IntoTheBlock.
This increase in activity is attracting attention, leaving the market speculating on possible catalysts that could be generating increased interest among whales.
According to IntoTheBlock, Shiba Inu has reported 6.42 trillion SHIB in large transaction volumes, or $175 million in monetary terms, representing a 258% increase in the last 24 hours.
An increase in large transaction volume suggests increased whale activity, whether buying or selling. Large transactions refer to amounts greater than $100,000 and represent movements of large holders, known as whales, or institutional actors.
Despite the substantial increase in large trading volume, the price of Shiba Inu has increased only marginally, up 0.27% in the last 24 hours to $0.000027.
This shows that while the increase in whale activity is significant, it has not yet translated into a major price movement. This small price movement amid higher trading volumes could indicate a period of consolidation, where the market is absorbing more activity before potentially making a more significant move.
What is brewing?
Increased whale activity could indicate preparations for further market movements or accumulation by large holders. Whales could be positioning themselves for a possible price increase, purchasing SHIB at their current price levels ahead of a broader market move. If this is true, it could indicate optimism about SHIB’s long-term potential.
Shiba Inu has steadily declined since reaching the $0.0000298 resistance on December 12.
In the event of a SHIB price reversal, eyes will be on a sustained break of the $0.0000334 resistance, which will start a new uptrend for SHIB price. Before this, Shiba Inu must decisively overcome the $0.00003 barrier.
On the other hand, if the current downward price trend continues, Shiba Inu could seek support at the daily 50 SMA at $0.000025.
