Recent data indicates that Shiba Inu (SHIB) whales may be behind the recent price drop, raising concerns about its blue-chip status. Despite this, some traders remain optimistic about Shiba Inu’s future potential.
Rise in Large SHIB Transactions Amid Market Decline
IntoTheBlock reported a surge of over 400% in large Shiba Inu transactions, valued at $100,000 or more, amidst a market downturn. Typically seen as positive, this activity could signal either accumulation or selling off of tokens by these whales, potentially influencing the coin’s price.
Further data analysis suggests that whales are indeed selling off their SHIB holdings, evident from a decreased token balance in wallets containing 0.1% of Shiba Inu’s supply. This move to exchanges to mitigate losses has added downward pressure on SHIB’s price, now below a crucial resistance level.
The market cap of Shiba Inu has suffered as it slipped in rankings to become the twelfth largest cryptocurrency by market cap, losing ground to Tron.
Positive Outlook for SHIB
Analyst Vapor believes that Shiba Inu maintains significance in the altcoin market and will not lose its blue-chip status. Vapor anticipates a strong performance from SHIB in the upcoming market cycle, positioning it well for potential gains during the meme supercycle.
Backing his optimism, Vapor highlights the advantages of blue-chip meme coins like Shiba Inu, making them favorable choices for future altcoin seasons. He predicts that Shiba Inu’s presence on tier-1 exchanges will attract retail investors, aligning with the trend seen in 2021.
