Shiba Inu Faces Crucial Test at $0.000011 Support Level as Whale Activity Surges 6,306%

Recent data has identified a significant support level for Shiba Inu, with over 43.8 trillion tokens accumulated by more than 222,000 wallets at $0.000011. This concentration of holdings suggests that the $0.000011 level could act as a critical threshold in determining the near-term price action of the asset. The current price of SHIB, around $0.00001154, is just slightly above the average entry price for a large group of investors, making this support level crucial for many holders who are closely monitoring the market to decide whether to hold or exit their positions.

According to a blockchain intelligence platform, just 10% of SHIB in circulation, approximately 8.04 trillion tokens valued at around $1.13 billion, is currently in profit. Meanwhile, 88.88% of holdings, or 871.61 trillion tokens valued at about $10 billion, are at a loss. An additional 11.06 trillion SHIB (1.13%) are at breakeven. This data suggests that a significant majority of holders are underwater, which could increase the likelihood of mass selling if the price drops below the $0.000011 threshold. A decline beyond this point could trigger widespread liquidation among holders trying to limit losses, adding downward pressure on the market.

Another notable factor is the decline in SHIB’s large transaction volume, which has reportedly fallen by roughly 88%. This drop in major transaction activity suggests a temporary slowdown in investor confidence or interest in significant trading activity. However, recent on-chain metrics have shown a surge in whale activity. SHIB saw a 6,306% increase in whale inflows, marking the highest level of large transactions in the past six months. This spike suggests that large holders may be accumulating again, possibly in anticipation of a rebound or ecosystem-related developments.

The outlook for SHIB could improve if whale accumulation continues and is accompanied by strategic reductions in token supply through burns. Burn events reduce the overall token supply, potentially strengthening the price if matched by demand. However, the effectiveness of this strategy depends on sustained engagement and coordinated actions within the ecosystem. The $0.000011 support level, backed by 222,450 addresses holding 43.8 trillion SHIB, plays a central role in SHIB’s short-term stability. While the majority of holders remain at a loss, increased whale activity and potential supply reductions may help offset bearish sentiment.

That said, if the price dips below the identified support level, a sharp sell-off could occur. SHIB’s performance in the coming days will likely depend on whether this support level can be maintained and whether broader market confidence returns.