This week, on 24 February, the crypto market witnessed something strange going on within the Shiba Inu network.
According to reports, someone dumped a whopping 421.6 billion SHIB tokens over the weekend, and the crypto community isn't sure how to react.
Here are all of the details:
According to a recent tweet from SpotOnChain a crypto whale, identified as "0x30e" was observed selling 421.6 billion $HIB out of their holdings during the weekend.
But this isn't the strangest thing.
According to SpotOnChain, the whale held these Shiba Inu tokens for approximately two and a half years, right before selling—at a massive loss.
SpotOnChain reports that this whale bought the Shiba Inu tokens in the initial $HIB bull run from 2021, for more than $10 million, before selling in 2024 for a measly $3.98 million.
This means that the whale lost a staggering $6.32M (or -61.4%) after nearly 3 years of holding.
SpotOnChain notes that the whale sold via Binance and another DEX, for 311.6B $HIB ($2.97M) and 110B $HIB for 1.01M $USDT respectively.
According to a chart attached to the tweet from SpotOnChain, the whale initially bought these $HIB tokens on HTX and Binance in November 2021 at a much higher price of $10.30 million when Shiba Inu's market value hovered around $0.00002443. Fast forward 2.5 years, and the current selling price has now stumbled to a mere $0.000009566 according to data from CoinMarketCap.
According to data from CoinMarketCap, Shiba Inu hasn't been very affected by this whale sell-off.
Over the past 24 hours, the token has declined by about 0.47%, settling at its current trading price of $0.000009566.
However, when we zoomed out to the weekly timeframe, we can see that the cryptocurrency has also declined by around 1.53%.
According to the charts, Shiba Inu is trading on top of an ascending trendline, which means that the bulls are in control of the market.
This is good… except that there is a massive resistance block on the cryptocurrency around the $0.00001 psychological resistance.
In fact, the most recent resistance from this zone on SHIB has sent it into a consolidation between $0.00001 and $0.00000930.
Overall, the price level to keep an eye out for is the $0.00001 zone, because a break above would cement the bulls' dominance, and could send the memecoin straight up to the next resistance zone around $0.000016, last tested in February 2023.
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.