NAIROBI (CoinChapter.com)— The withdrawal of 220 billion Shiba Inu (SHIB) tokens, worth $4.63 million, from Binance by a dormant whale has stirred discussions about the token’s market dynamics. This move, seen as a shift toward self-custody, highlights whale behavior during periods of market uncertainty.
Whale Withdrawal Sparks Speculation
Data from Lookonchain identified the whale as reactivating after five months of dormancy. The address had previously exhibited inflows and outflows, with transactions involving billions of SHIB over 146 and 151 days ago. The latest withdrawal suggests a possible long-term hold strategy or a precautionary measure against potential market volatility.
Whale withdraws $4.63M SHIB from Binance. Source: Lookonchain
The withdrawal aligns with a broader trend of increased outflows from large holders. Analysis from IntoTheBlock revealed a 627.85% spike in outflows over the past week, underscoring a persistent pattern. Over the past month, outflows climbed 121.61%, while 90-day data recorded a 108.23% increase.
Shiba Inu Price Recovers Despite Bearish Month
SHIB’s price endured a challenging Dec., plummeting by 21.15% over the month. Despite a recent 5% rebound in the last 24 hours, the token’s weekly loss stands at 0.54%, with a broader two-week decline of 7.7%. The 200-day EMA at $0.00002200 has provided crucial support, stabilizing the asset amid ongoing whale-driven market dynamics.
SHIB/USD 1-day price chart. Source: TradingView
Trading data shows SHIB staying below the 50-day EMA, signaling cautious bullish momentum. Analysts suggest breaking the $0.00002350 resistance level is vital for confirming a reversal in the downtrend. Failing to hold the $0.00002200 support could prompt a retest of lower levels.
Shiba Inu eyes 234% rally to $0.000081. Source: X
Analyst Javon Marks highlighted bullish signals, predicting a potential surge to $0.000081, a 234% climb. Marks suggested SHIB could maintain upward momentum, driven by whale activity and renewed interest.
However, he tempered expectations regarding speculative targets like $1 by 2025, emphasizing the monumental 4,500,000% increase required to achieve such levels.
Community Burn Efforts Continue
Amid market hesitancy, the Shiba Inu community achieved a milestone by burning 44.6 billion SHIB in 2024, valued at nearly $991,090. Dec. alone saw over 2.67 billion SHIB incinerated through 143 transactions, reflecting the community’s commitment to reducing token supply.
The whale’s substantial withdrawal, combined with community-driven burns, highlights SHIB’s contrasting trends of distribution and retention.
