Shiba Inu (SHIB) whale activity surges, rebound potential emerges
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Recent changes in Shiba Inu (SHIB) whale activity reflect that the market may be undergoing an important adjustment or rebound. According to data provided by IntoTheBlock, the decline in Shiba whale activity is closely related to the price downtrend, followed by a significant recovery, particularly in terms of large transaction volumes and total trading amounts. This trend is worth further analysis.
Correlation between whale activity decline and price drop:
Since December 7, whale activity has gradually decreased, which coincides with the decline in SHIB's price. Whales typically engage in large-scale trading when market prices are rising. This reduction in whale activity indicates that significant capital in the market may be waiting for better buying opportunities or is cashing out profits.
On December 10, the record of a large transaction of 18.85 trillion SHIB significantly dropped to 1.07 trillion SHIB, showing that whale activity has notably slowed down in the past few weeks, and market sentiment has also exhibited some level of gloom.
Recovery of whale activity:
However, the sharp increase in whale activity in the past 24 hours, particularly the increase in large transaction volumes (up 250%) and the increase in currency value (up 265%), may signify a shift in market sentiment. This recovery typically indicates that whales are confident about SHIB's future trends and may be optimistic about rebound opportunities in the short term.
This change in trend could signal a reallocation of market funds, with whales possibly believing that SHIB prices are close to the bottom and starting to buy in large quantities to capture potential upside.
Possible market rebound:
Given SHIB's previous price drop and the recovery in whale activity, the market may be brewing a short-term rebound. This recovery often accompanies rapid changes in market sentiment, especially in the meme coin sector, where sentiment and capital flow often dictate price trends.
The surge in large transactions may also stimulate other investors to follow suit, especially in a market sensitive to SHIB's price fluctuations, further exacerbating price volatility.