Shiba Inu experienced a lull in its rally over the past few weeks, causing investor interest to decline in the asset. However, this is beginning to change as investors, especially whales, are back to filling up their bags once again. The most notable of these buys is a whale who bought 692 trillion SHIB from the Crypto.com exchange.
Whale Spends $19 Million On Shiba Inu
A significant Shiba Inu whale transaction was seen on the blockchain in the early hours of Monday and has caught investor attention over this time. The transaction which was reported by the on-chain whale tracking platform Whale Alert, was carrying a whopping 692.4 trillion SHIB.
Now, at the time of the transaction, the tranche of coins was worth around $19.26 million. But with the crypto market seeing upside ahead of the start of the trading week, this stash of coins has moved closer to to being worth $20 million at press time.
🚨 692,400,000,000 #SHIB (19,260,837 USD) transferred from #CryptoCom to unknown wallet
— Whale Alert (@whale_alert) April 8, 2024
When it comes to large transactions like these, their origination points, as well as the destination of the coins, can tell the reason behind the transaction. This way, it is easier to tell if the transaction will have a positive or negative impact on the price of the meme coin.
In this case, the prospects look positive as the coins were actually withdrawn from centralized exchange Crypto.com. This suggests that the whale had purchased the coins from the exchange. Then, looking at the destination, which is an unknown wallet, it shows that this Shiba Inu investor is moving their coins from the exchange to a personal wallet for safekeeping.
Accumulation is always a positive thing for any token, especially for the likes of Shiba Inu, As are whales choose to buy instead of sell, selling pressure decreases and demand goes up, which, in turn, causes the price of the meme coin to rise.
SHIB Starts Recovery Trend
Amid the large buys, the Shiba Inu price has begun to see an upside. In the last day, the meme coin’s price is up 2.5%, with bulls gearing up to retest the resistance at $0.00002896. Additionally, there has been a more than 20% increase in its daily volume.
This rise in daily volume suggests that investors’ interest are turning back on the coin once again. Since the price is going up, it shows that there are currently more buyers than sellers and a continuation of this trend could kickstart a similar rally to what was seen in March. If that happens, then the SHIB price could easily clear $0.00006 as a result.
SHIB recovers to $0.000029 | Source: SHIBUSDT on Tradingview.com
Featured image from Crypto Rank, chart from Tradingview.com