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Dog-themed cryptocurrency Shiba Inu (SHIB) has seen a drop in large holder netflows, plunging by 44,431% in the last seven days.
According to IntoTheBlock data, Shiba Inu saw a plunge in large-holder netflows, which decreased from 3.5 trillion SHIB on Feb. 7 to a negative 792.81 billion SHIB on Feb. 8. Large-holder net flows stagnated in the days that followed. This trend has partially reversed, with Shiba Inu recording a positive netflow of 303.43 billion SHIB in the last 24 hours.
Large Holders Netflow estimates the difference between inflows and outflows of whale addresses, offering insight into their position changes. Positive net flows can be seen as accumulation from large holders, while negative net flows might indicate reduced positions or selling.
Tomiwabold OlajideCrypto markets fell 1.82% in the last 24 hours as traders awaited U.S. consumer price index (CPI) statistics due later Wednesday. Shiba Inu was not exempted from the bearishness on the market's, down 0.19% in the last 24 hours to $0.00001584.
What's happening?
Altcoins (alternative cryptocurrencies other than Bitcoin, such as Shiba Inu) have recently experienced a significant sell-off and have struggled to regain a foothold. The bulk of tokens in this sector have undergone a highly correlated downside sell-off, with just a few sectors unaffected.
According to Glassnode, this has resulted in one of the greatest altcoin devaluations on record, highlighting a significant divergence between Bitcoin and the typical capital rotation witnessed in previous market cycles toward the altcoin landscape.
With the altcoin sector under considerable sell-side pressure, many assets have been struggling and underperforming Bitcoin in recent weeks.
While Bitcoin's market capitalization reached $2.1 trillion on Jan. 21, altcoins (excluding ETH and stablecoins) peaked earlier at $1.03 trillion on Dec. 8. Since then, BTC's market capitalization has fallen by 8.2%, while altcoins have decreased by 29.8%.
Meme coins experienced explosive growth in futures volume but faded just as quickly. Shiba Inu volumes fell 90%, from $2.72 billion to $0.28 billion, according to a recent Glassnode analysis.
Vladislav Sopov
Alex Dovbnya
Dan Burgin