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Dog-themed cryptocurrency Shiba Inu (SHIB) has experienced a staggering 625% surge in large holder inflows, signaling a wave of bullish sentiment among large players, or whales.
Data from IntoTheBlock reveals that Shiba Inu has witnessed a remarkable 625% increase in large holder inflows within the last seven days.
Large Holders Inflow tracks the funds going into whale-owned addresses and may indicate significant buying activity. This might be because many of these addresses buy on centralized exchanges and transfer their purchases to cold storage.
A surge in large holder inflows can also indicate price bottoms since these addresses prefer to buy in bulk after significant drops.
SHIB whales begin moves
While entities can often transfer out funds they just received for business purposes, Shiba Inu large holder netflows substantiate the rise in inflows.
Shiba Inu netflows also went up 2,393% in the same time frame. Spikes in large holder netflows suggest accumulation by large holders, or whales.
Shiba Inu faces its sixth consecutive day of price losses since July 27 if today closes in the red. At the time of writing, SHIB was down 2.43% in the last 24 hours to $0.00001552 and down 7.57% weekly.
Whales are typically known to utilize periods of decline to accumulate more at a discount, which might explain the surge in SHIB on-chain metrics. Whether this would result in a bounce for SHIB's price remains yet to be seen.
Technically, a relief rally, or at least a dead cat bounce, seems possible following days of decline; however, the magnitude of the recovery remains unknown. Meanwhile, a sustained breakout above the daily moving averages might be the first signal of a bullish comeback.