Network data shows that Shiba Inu (SHIB) witnessed a massive decline in whale activity. This is significant for the meme coin ecosystem, considering the impact these investors typically have on Shiba Inu Price.
Whale activity in Shiba Inu decreases by more than 100%
Data from IntoTheBlock market intelligence platform shows that whale activity in Shiba Inu has decreased by more than 100% in the last seven days. This is based on the large holders netflow metric, which indicates when these whales are increasing their positions or unloading your tokens.
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![Shiba Inu Sees Sharp 100% Decline in Whale Activity, Is This Good or Bad for Price? 6 Shiba Inu 1](https://thegurumedia.com/wp-content/uploads/2024/07/Shiba-Inu-1-1.png)
The 100% drop in net flow from large holders points to these whales choosing not to accumulate and sell their Shiba Inu tokens. The large holders’ exit metric also points to these whales unloading their tokens, as there has been an 18% increase in the amount of Shiba Inu tokens leaving these whales’ addresses in the last seven days.
![Shiba Inu Sees Sharp 100% Decline in Whale Activity, Is This Good or Bad for Price? 7 SHIB 2](https://thegurumedia.com/wp-content/uploads/2024/07/Shiba-Inu-2.png)
Meanwhile, in the same period, there was a drop of almost 23% in large holder inflowswhich suggests that more whales are choosing not to add to their Shiba Inu positions. This is clearly bad for the Shiba Inu ecosystem, as significant selling pressure from these whales could further drive down the price of the meme coin.
![Shiba Inu Sees Sharp 100% Decline in Whale Activity, Is This Good or Bad for Price? 8 Shiba Inu 3](https://thegurumedia.com/wp-content/uploads/2024/07/Shiba-Inu-3.png)
Other metrics in the chain also paints a bearish outlook for the meme coin. For instance, data from IntoTheBlock shows that the ‘In The Money’ metric is bearish, as 52.46% of Shiba Inu addresses are currently at a loss. This could increase selling pressure on the meme coin as more investors look to cut their losses, fearing that Shiba Inu could fall further from its current price level.
![Shiba Inu Sees Sharp 100% Decline in Whale Activity, Is This Good or Bad for Price? 9 SHIB 4](https://thegurumedia.com/wp-content/uploads/2024/07/Shiba-Inu-4.png)
Shiba Inu also risks losing most of the gains it made earlier this year if it fails to hold above its current support level. The In the Money metric shows that most addresses currently invested in Shiba Inu bought the meme coin at the current price range. As such, a decline below this range could send the crypto token plummeting to levels not seen in some time.
Bitcoin Making Things Worse for Shiba Inu
Data from IntoTheBlock shows that Shiba Inu has a strong positive price correlation with Bitcoin. This has also contributed significantly to the bearish trend that the meme coin is currently facing. SHIB’s price correlation with Bitcoin seems to be the reason why the second largest meme coin by market value was one of the most affected since the main crypto has fallen below its crucial support level at $60,000.
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Shiba Inu’s price correlation with Bitcoin suggests things could get worse for the meme coin. The top crypto is still facing intense selling pressure and there is a risk of further price drops in the coming days.
SHIB is currently trading around $0.00001327, down over 14% in the past 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com