Gushiken Yona
A pattern suggesting a potential price reversal is taking shape on the Shiba Inu chart, catching analysts’ attention just as on-chain data reveals a dramatic spike in large transactions. The timing has observers speculating that major holders, or “whales,” may be positioning themselves, hinting at renewed interest in the meme coin’s next move.
Potential Reversal Pattern Emerges on Shiba Inu Chart
Technical analysts are eyeing a specific formation on the daily price chart for Shiba Inu (SHIB), particularly as depicted in analysis published on TradingView by the user @CryptoWizard101 on Monday. The chart appears to show the cryptocurrency carving out a “double bottom” pattern against its Tether (USDT) pairing.
This classic technical formation occurs when a price tests a low point, bounces, retests that same approximate low, and bounces again. In traditional chart analysis, a double bottom is often viewed as a bullish signal.
It suggests that sellers may lack the conviction to push the price lower past that established support level – seen near the $0.00001154 mark on the referenced chart. If the pattern holds and the price breaks above the intervening peak, it could signal the start of a potential uptrend.
Whale Transactions Spike Alongside Chart Signals
Adding weight to the chart observations is a significant surge in activity on the Shiba Inu blockchain itself. Data from analytics firm IntoTheBlock indicated a dramatic 95.91% increase in the volume of large SHIB transactions within the 24 hours leading up to Monday.
These large movements, typically defined as transactions exceeding $100,000, accounted for a transfer volume of roughly 18.51 trillion SHIB. At the time, this amount was valued at approximately $7.75 million.
Such a sharp uptick in large transaction volume frequently points towards increased activity among cryptocurrency “whales” – wallets holding substantial amounts of the asset. While the specific intentions behind these movements remain unclear (they could represent buying, selling, or simply internal transfers), the sheer scale suggests major players were actively engaging with SHIB.
This coincided with broader market activity, as data from CoinMarketCap showed Shiba Inu’s overall 24-hour trading volume had increased by about 10%, reaching nearly $149 million.
Holder Sentiment Remains Strong Despite Whale Dominance
Further context from market data highlights the unique distribution of Shiba Inu. While an overwhelming majority of addresses (over 93%) hold relatively small amounts (under $1,000), a very small cohort of whale addresses (0.15%) wields significant influence, controlling an estimated 58.5% of the token’s supply.
Despite this concentration, a strong sense of holding persists within the community. Analytics suggest that over 77% of Shiba Inu addresses have held their tokens for more than one year, classifying them as long-term “Holders” rather than short-term “Traders.”
While the potential double bottom on the Shiba Inu chart and the surge in whale activity present intriguing data points, market analysts caution against definitive conclusions. Technical patterns can fail, and whale movements can be ambiguous. Yet, the convergence of these factors has undeniably placed Shiba Inu back in the spotlight for traders and investors monitoring the popular meme coin for signs of its next significant move.
Read More
- Shiba Inu Chart Signals Bullish Trend, Analyst Predicts Surge
- Shiba Inu Price Inches Toward Breakout, Bulls Test Key Wall
- Shiba Inu Price Teases Climb Amid Bullish Chart Signals
Yona has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Daily is an official media and publication of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
