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Within a span of just 14 hours, transactions amounting to 1.4 trillion SHIB have been recorded, which raises some questions: Why are whales moving so much SHIB and can it affect its market price?
Transaction logs show a sequence of movements that catch the eye — notably from major exchange hot wallets like Coinbase and Binance. These platforms are central to the crypto trade, and their hot wallets are instrumental for immediate transactions.
For example, one transaction from a Coinbase hot wallet moved 36.3 billion SHIB, valued at approximately $1.03 million, considering the token's price at the time was around $0.0000284.
The timing of these large-scale movements coincides with an explosive rally on the Shiba Inu chart. As for now, Shiba Inu is moving in the uptrend, as suggested by the movement above crucial moving averages.
Denys SerhiichukThe reasons behind these whale movements can be manifold. Some investors might be reallocating their holdings in anticipation of market events or potential news that could affect SHIB's valuation. Others might be taking profits after the recent price surge or redistributing their assets for strategic diversification. The significant transfer activity could also be preparatory, setting the stage for a larger market play.
The impact of these whale moves can be quite noticeable, often hinting at heightened price volatility. Market sentiment can swing, and prices can sharply rise or fall in response to such large-scale transfers. For SHIB, which stays and moves in an uptrend, peaking at $0.00003083, these transactions may be of a new market trend.
However, one should most certainly stay cautious; while these signals may hint at impending market movements, they do not always lead to immediate or predictable outcomes.
Tomiwabold Olajide
Denys Serhiichuk
U.Today Editorial Team
Vladislav Sopov
Dan Burgin