Renowned cryptocurrency expert Ali Martinez has warned of impending challenges for the soaring Shiba Inu (SHIB) coin in a new report.
Although the meme currency has grown by an astounding 55% in the last three months, Martinez is worried about a big obstacle that can endanger SHIB’s trajectory for future growth.
Martinez’s research, which is based on information from IntoTheBlock, shows that at an initial price of $0.000016, approximately 90,000 addresses own an astounding concentration of 422 trillion SHIB. If these tokens were sold all at once, the sheer amount might cause a surge of selling pressure that could damage SHIB’s price and sabotage its present strong momentum.
https://x.com/ali_charts/status/1733587823616520238?s=20
The concern stems from the possible repercussions of a sell-off of this magnitude. The market may become oversupplied with tokens if these large-scale investors chose to sell off their SHIB holdings, which would cause a significant price fall.
The fact that these addresses are presently holding SHIB at a loss, which is increasing the pressure on the token’s value, adds to the complication.
Break point
Whether Shiba Inus can overcome this obstacle and continue to grow is now the key question. In spite of this impending danger, SHIB has already seen a remarkable 22% increase since the start of December, crossing the coveted $0.00001 per SHIB threshold.
However, the massive concentration of tokens in whale wallets adds a layer of uncertainty, raising questions about how long SHIB’s current bull run will go.
