TLDR
- A major SHIB whale sold 250 billion tokens worth $6.05 million, triggering a broader selloff that led to a 10% daily and 22% weekly price decline
- The whale originally spent only $3.8K in 2020 to acquire their position, representing massive profits
- Despite the selloff, the SHIB community remains optimistic due to upcoming SHIFU and TREAT token developments
- SHIB burn rate has declined 70% weekly, concerning some investors
- Technical analysis suggests $0.0000234 as a key support level, with potential upside to $0.0000998 in 2025
A major early investor in Shiba Inu (SHIB) has sold 250 billion tokens worth $6.05 million, triggering a broader market reaction that sent the popular meme token’s price down by 10% in daily trading and 22% over the past week. The price movement brings SHIB to a critical testing point at the $0.000024 level.
According to data from Lookonchain, the whale investor originally purchased 15.28 trillion tokens in August 2020 for just $3,800, highlighting the massive returns early SHIB investors have realized. The same wallet address, identified as ‘0xd6b’, executed an additional sale of 150 million SHIB tokens through the Gemini cryptocurrency exchange.
The selling pressure intensified as other traders reacted to the whale’s exit. Data from Coinglass reveals that nearly $5 million in long positions across SHIB, 1000SHIB, and SHIB1000 were liquidated within 24 hours of the initial sale, demonstrating the cascading effect of the whale’s decision.
Transaction records from Etherscan indicate that despite the substantial sale, the whale still maintains a position of approximately 2 trillion SHIB tokens, valued at $48.38 million at current prices. The total profit realized by this early investor from various sales now approaches $108 million.
The SHIB token currently trades at $0.0000241, showing some signs of stabilization after bouncing from the 0.5 Fibonacci retracement level. Trading activity has picked up on several exchanges, including Cryptocom and CoinEx, suggesting some buyers view the current price levels as attractive entry points.
Technical indicators point to $0.0000234 as a crucial support level that bulls need to defend to prevent further downside. The price action has created what analysts describe as an inflection point, where the market must decide between continuation of the downtrend or a potential reversal.
The Shiba Inu community has responded to the price movement with mixed reactions. While some express concern over the declining SHIB burn rate, which has dropped by 70% over the past week according to the Shibburn portal, others remain optimistic about upcoming developments.
Community sentiment appears to be drawing strength from the anticipated launch of SHIFU and TREAT tokens, which are expected to add new utility to the SHIB ecosystem. These developments are seen as potential catalysts for future price appreciation by many community members.
Market data shows the intraday trading range has established between $0.000023 and $0.000026, with volume concentrating around the current price level of $0.0000241. This consolidation pattern suggests traders are assessing the market’s next direction.
The broader technical outlook identifies $0.000037 as the next major resistance level should buyers regain control of the market. This target aligns with previous support levels that could now act as resistance in any potential recovery.
On-chain metrics present a mixed picture, with whale transactions showing continued selling pressure while retail activity remains relatively stable. The decline in the SHIB burn rate has particularly caught the attention of long-term holders who monitor this metric as an indicator of potential supply reduction.
Several trading platforms have reported increased buying activity in recent hours, particularly from addresses previously identified as accumulating during similar price dips. This behavior suggests some market participants view the current price level as a potential value opportunity.
The selling pressure comes amid a broader cryptocurrency market adjustment, with several major tokens experiencing similar downward price pressure. However, SHIB’s price movement has been more pronounced due to the concentrated nature of the whale’s exit.
Looking ahead, technical analysis suggests potential for price recovery, with some analysts projecting a possible move toward $0.0000998 in 2025, though such long-term projections should be viewed with appropriate caution given market volatility.
