Mysterious Wallet Acquires 1 Trillion Shiba Inu Stash, Rally Expected Soon?

Key Insights:

• Whale acquires a total of 1 Trillion $SHIB.
• Low prices, strong fundamentals, community, network, etc., are some of the reasons.
• A rally in prices is expected soon.

A mysterious whale or institution has been accumulating Shiba Inu for the last few weeks. To date, it has successfully accumulated 1.14 Trillion $SHIB.

The reasons for accumulation seem to be ranging from better fundamentals to bargain prices of the cryptocurrency.

Read the article to understand what compelled the whale to buy at this stage and whether should you do the same.

Mysterious Shiba Inu Whale Buys the Dip

A mysterious whale was seen taking benefits of the low $SHIB price and has accumulated over 200 billion Shiba Inu. This takes the total amount of Shiba Inu in its wallet well above 1 Trillion $SHIB.

Till press time, the wallet holds more than 1.14 Trillion $SHIB Tokens. The second biggest token holding seems to be a crypto named Big Time.

5 Reasons for Increased Buying Activity

The price of Shiba Inu has been lying low for a while now. Even when Bitcoin is rapidly moving towards its 52-week high price, Shiba Inu does not even seem to shrug off its crypto winter price levels. These low prices have attracted many investors, especially whales, who have been accumulating the cryptocurrency.

The reasons why whales and other large investors are buying at current levels are:

1. Low Prices: The price of Shiba Inu has been lying low for a while now. Despite a rally in overall markets, where prices have even doubled and tripled, Shiba Inu is not witnessing any rally. Low prices seem attractive for those who have a long-term plan with its ecosystem.
2. Increased Network Utility: With the success of its blockchain, i.e., Shibarium, the entire Shiba Inu ecosystem seems to have gained several utilities such as NFTs, DApps, DeFi, and Layer-2 capability.
   
   Now think, if Polygon, Optimism and other L2 chains can sustain on being Ethereum scaling solutions, Shiba Inu with its large market cap and followership will kill every other competitor.
3. Future Potential: Ethereum fees will not drop considerably shortly. Even if they drop, both ZK Rollups and L2 solutions would still be say 10x cheaper than the Ethereum blockchain. This is why a popular L2 like Shibarium will always have a strong future.
   
   Also as we see copycat memecoins gain traction, the originals therefore seem as a much stronger option for any Web3 user.
4. Strong Community: The Shiba community has now and then surprised us with its strong community. During the launch of Shibarium, the development team expected around 4 Million weekly traffic on their website, but they were taken by surprise when more than 16 Million visitors stormed Shiba Inu's website.
5. Burn Rates: The recent burn rates in the ecosystem have brought much relief to its holders as reducing the active supply (through burning) means an increase in its value. Also now that the team has decided to automate burning, they are expected to happen more frequently.

What Should You Do?

Since the beginning of 2023, Shiba Inu has only momentarily crossed $0.00001. Now, this might be due to several reasons such as lack of market news, lack of on-chain activity, etc. Anyway, it has been a little more time since the price rallied. There is also a pressure to catch up with the other cryptos as well.

Therefore, we think that a rally for Shiba Inu is just a matter of time. A report by Telegaon suggests the price could be around $0.025 by 2030.

On weekly charts, Shiba Inu's price seems to have formed a symmetrical triangle. Now, since both RSI and MACD are somewhat neutral, we will consider the overall market direction as a leading indicator.

If the prices cross $0.00001 by 26 Feb 2024, it would indicate a rally in the prices. If that does not happen, there is a chance of $0.000008 by mid-March.

Hence, it can be said that a rally is possible if the overall markets do not take a downturn in the next three weeks.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.