Hold onto your Dogecoins, SHIB Army! The Shiba Inu rollercoaster just took another dramatic dip. After a meteoric rise that turned early investors into overnight millionaires (and even billionaires!), the price of SHIB has experienced a sharp downturn. What’s behind this latest price plunge? Look no further than the awakening of a legendary crypto whale.
The Billion-Dollar Whale Stirring the SHIB Sea
Remember the incredible tale of the crypto investor who transformed a mere $3400 investment in Shiba Inu last August into a staggering $1.55 billion? Well, this crypto legend, often referred to as a ‘whale’ due to their massive holdings, has made a significant move that sent ripples through the SHIB market.
On November 2nd, this very whale initiated a series of transactions, transferring a colossal ten trillion and one hundred thousand Shiba Inu tokens. These weren’t just scattered transactions; they were strategic moves to four separate wallets. Let’s break down the sheer scale of these transfers:
- Total SHIB moved: 10,000,100,000,000 SHIB
- Value per transaction (approx.): $586 million USD
- Total value moved (approx.): $2.3 billion USD
To put it mildly, this is a whale of epic proportions making waves!
Is the Whale About to Dump SHIB? Fear Grips the Community
The crypto community, always vigilant, immediately noticed this unusual activity. Speculation began swirling, fueled by the fact that this whale’s wallet had been dormant for a considerable time. Could it be that the owner had lost access to their fortune, as some previously speculated? Crypto analyst Devchart (@devchart) captured the community’s sentiment perfectly:
“Remember when everyone was wondering if the guy who turned 8k$ into 5 billion actually… lost access to his wallet? Turns out he didn’t and just started moving some of his $SHIB”
Remember when everyone was wondering if the guy who turned 8k$ into 5 billion actually…
— Devchart 👨💻 (@devchart) November 3, 2021
lost access to his wallet?
Turns out he didn't and just started moving some of his $SHIB 🤯 pic.twitter.com/yF0FjHqQOn
The awakening of such a massive holder naturally sparked fear within the Shiba Inu community. The big question on everyone’s mind: Is this whale preparing to sell off their tokens? Given the sheer size of their holdings, even a partial liquidation could send shockwaves through the SHIB market.
Why a Whale Sell-Off Could Trigger a SHIB Price Tsunami
The concern isn’t unfounded. This single whale owns a significant chunk of the total Shiba Inu supply. Financial analyst Jacob Oracle paints a stark picture:
“If he decided to sell these bags, SHIB would plummet -99.99% to zero,”
While a complete wipeout might be an extreme scenario, the reality is that a massive sell-off from such a dominant holder would undoubtedly trigger a severe price plunge. The market operates on supply and demand, and such a large influx of SHIB tokens hitting the market simultaneously would overwhelm buying pressure, driving the price down.
The Price Impact: SHIB Feels the Whale’s Wake
The market reacted swiftly to the news of the whale’s activity. Downward pressure immediately mounted on the Shiba Inu price. Let’s look at the numbers:
- Price drop from ATH (7 days prior): 31.2%
- Price drop in the last 24 hours: 10.8%
Data from CoinGecko confirms this significant dip, reflecting the market’s sensitivity to whale movements.
The crypto analytics platform Unusual Whales (@unusual_whales) captured the drama unfolding in real-time with a series of tweets, highlighting the sheer magnitude of the whale’s influence:
“He is awake. The best trader of all time is alive.”
“This wallet bought $8,000 of $SHIB last August. It’s now worth $5.7 billion.”
“I repeat – $5.7 billion in 400 days. He owns 16% of the marketcap.”
“He has sent $2.2 billion to four different wallets yesterday. Incredible.”
He is awake.
— unusual_whales (@unusual_whales) November 3, 2021
The best trader of all time is alive.
This wallet bought $8,000 of $SHIB last August. It's now worth $5.7 billion.
I repeat – $5.7 billion in 400 days.
He owns 16% of the marketcap.
He has sent $2.2 billion to four different wallets yesterday. Incredible. pic.twitter.com/b3lRraM4dR
Concentrated Power: SHIB Ownership in the Hands of a Few
The Shiba Inu saga highlights a crucial aspect of many cryptocurrencies, especially newer and meme-based coins: concentrated ownership. The top 10 wallets hold a staggering 72% of all SHIB coins in circulation. This level of concentration means that the actions of a few large holders can have an outsized impact on the price and market stability.
As for the legendary whale? Their original wallet still holds over $1.8 million worth of SHIB, suggesting that while they’ve moved a significant portion of their holdings, they are still invested in the Shiba Inu ecosystem. Whether this is a strategic portfolio diversification or the prelude to a larger sell-off remains to be seen. For now, the SHIB community watches and waits, bracing for potential further volatility in the wake of the whale’s awakening.
Gensler, SEC Chair Discusses Issues Around The Bitcoin-linked ETF
Galaxy Interactive Rises Additional $325M Fund For Metaverse and Next Gen…>>
Disclaimer: The information provided is not trading advice, Bitcoinworld.co.in holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.