The transactional activity on big wallets appears to be increasing and has reached about 2 trillion, which suggests that Shiba Inu whales are about to wake up. But the market’s lack of enthusiasm indicates that it is too soon to rejoice, and such transactions may just be related to the allocation of cash rather than having any bearing on the price.
According to recently released data, the Shiba Inu network is seeing an increase in transactions. A total of 1.9 trillion SHIB worth of big transactions had taken place during the past 24 hours. Following a seven-day low of 82 trades on May 19, 2024, the activity has recovered.
Analyzing surge
A sharp increase in large transactions might indicate a number of problems. First, there’s a considerable chance that market heavyweights are merely reallocating their holdings. This money transfer may be the result of straightforward asset redistribution for liquidity needs, internal wallet reorganisations, or market manoeuvre preparations.
Although the amount of transactions increased as a result of all of this, sentiment about SHIB as a whole stayed mostly unchanged. The price remained at $0.000024 and did not exhibit any discernible upward movement. The relative strength index, which remained over the neutral 50-point threshold, further supported the absence of purchasing power.
Potential implications
However, the fact that these whales’ behaviours are apparent does not always mean that the price will rise in tandem. The way the market is working, these significant movements might just be the repurchasing of stock from current holders rather than any fresh investment. In that sense, SHIB continues to trade inside a narrow horizontal band, with the slight price effect being impacted at most.
This would mean that for SHIB to truly go through a bull run, there would need to be consistent purchasing pressure and general market confidence. Though not quite there, indicators are pointing to a bullish breakthrough. Investors are closely monitoring the level market activity, keeping a close eye on the support and resistance zones located at $0.000022 and $0.000026, respectively.
