According to IntoTheBlock's data, in just the past day, the outflow of large holders of Shiba Inu (SHIB) reached 27.5 trillion SHIB. This trend is part of a larger pattern, with the total volume of large transactions for SHIB hitting 63.7 trillion SHIB in the past 24 hours.
The outflow of 27.5 trillion SHIB has increased by 754% over the past seven days. Conversely, the inflow of large holders (funds flowing into whale addresses) reached 19 trillion SHIB in the past 24 hours, an increase of 133% weekly. High trading volumes usually indicate increased activity among whales, with Shiba Inu seeing a 55.81% increase in the past 24 hours. The increase in outflows aligns with the widespread sell-off in the cryptocurrency market this week, which may have prompted SHIB's large holders to transfer significant amounts of tokens.
As of the time of writing, SHIB has dropped 23.28% in the past 24 hours to $0.00001874. The ongoing sell-off may explain why outflows far exceed inflows. Given the overall market sentiment leaning bearish, the significant outflows suggest that some whales may be cashing out amid broader market uncertainty.
Meaning
IntoTheBlock's large holder outflow tracks the fund outflow from large holder addresses.
The outflow from large holders helps identify moments of panic. A surge in outflow may indicate two things: liquidation by whale addresses or withdrawals from exchanges. Withdrawals from exchanges may be for safety reasons, such as moving to cold storage, which is considered bullish.
During periods of extreme volatility, large holders may be more likely to sell assets to avoid liquidation. However, since exchanges are among the largest holders, large outflows often represent funds leaving the exchanges. The good news is that Shiba Inu has partnered with Chainlink, allowing its ecosystem tokens SHIB, BONE, and LEASH to adopt the CCT standard. Shibarium has also adopted Chainlink's CCIP as its standardized cross-chain infrastructure and low-latency market data stream.