The euphoria surrounding the meme-based Shiba Inu cryptocurrency translated into a rapid increase in accumulation recently. The number of SHIB holders has now reached one all time high after peaking at 1.22 million. This all-time high comes after a period of strong accumulation in recent years. There was also an uptick in whale holdings as strong bullish signals were sent across the crypto industry for the Shiba Inu.
According to the whale movement tracker WhaleStats, the top 500 Ethereum whales own over $157.4 million worth of SHIB tokens. In fact, the meme coin now occupies 5.3% of their total holdings. The same platform also confirmed that yesterday, over 600 billion SHIB tokens were added to the wallet of top Ethereum whales.
The resurgence of interest among whales is supposed to be a strong bullish indicator for the altcoin. Even so, recent price action has seen no evidence of this, as we will see going forward.
Earlier this week, there was a glimmer of hope for traders as whale activity began to show signs of recovery. SHIB’s whale trade metrics have recorded healthy whale activity over the past seven days.
However, it is what has happened over the past two days that is of particular interest. There has been a higher concentration of whale trades worth more than $1 million in the past two days than at any other time in the past seven days.
A SHIB fear ahead?
According to CoinMarketCap, SHIB was trading at $0.00001299 at press time after seeing a small drop over the past 24 hours. However, the token’s weekly gains are still above 5%. This recent attraction helps the Shiba Inu hold down the 10u position among cryptocurrencies by market capitalization.
While weekly gains saw some respite during the week, trading profitability continues to decline on the MVRV chart. The MVRV indicator for SHIB trades has seen red flashes mostly since late August. This period precedes a period of greener pastures for SHIB trading in mid-August.
Another worrying development may be SHIB’s trading volume in recent days.
According to Santiment, there has been a nearly 40% drop in Shiba Inu trading volume in the last 24 hours. This may mean that the recent surge in whaling was nothing more than a facade.
What does the burning gate look like now?
Shiba Inu registration portal Shibburn recently published an update on the token registration mechanism. According to this modernize, there have been a total of 272,140,724 SHIB chips burned more than 101 trades in the last 7 days.
While the burning process continues to eliminate countless SHIB tokens from supply, the token’s price action continues to experience significant changes. At this point, a normal day for SHIB trading seems like a big ask.