Shiba Inu Large Transaction Volume Drops 88.09% Amid Crypto Market Downturn

On June 18, the leading dog-themed meme token, Shiba Inu (SHIB), experienced a significant decline of 88.09% in its large transaction volume, according to the latest data from an on-chain analytics platform. This decline comes amidst a broader crypto market downturn, where leading cryptocurrencies have seen their prices plummet due to persistent market volatility. SHIB has not only faced significant disruptions in its price movement but has also seen its on-chain trends severely impacted.

Over the past 24 hours, the total net inflow of tokens moved among wallets of SHIB investors holding at least $100,000 worth of SHIB tokens has fallen by a massive 88.09% to an unusual $23.36 million. Despite amassing $196.15 million in large transaction volume on June 16—the highest level achieved over the last week—SHIB’s large transaction volume has dropped by about 90% in just two days. This decline indicates reduced trading activity among whales or institutional players, either buying or selling.

While whales are known for accumulating more tokens during periods of consolidation or decline, this on-chain metric suggests weakened investor interest. Whales are now relieving their accumulation of the tokens following the market’s negative performance. This negative trend in SHIB’s price action and on-chain activity has caused holders to question the possibility of a potential price breakout for SHIB following the ongoing market sell-off.

Despite reaching notable highs in the last month, the Bitcoin-led market action has kept traders closely watching for signs of a potential cooling-off period. Nonetheless, this downturn in SHIB’s large transaction volume suggests that investors are no longer willing to accumulate the token in large quantities, implying that bearish sentiment on SHIB is gradually taking center stage. Still, SHIB has held steady in price over the last day despite the decline in on-chain movement, fueling more curiosity among SHIB holders.

According to data, SHIB has surged slightly by 0.75% in price over the last 24 hours. As such, the token is trading steadily at around $0.00001170 as of press time. This steady price movement, despite the decline in on-chain activity, suggests that there may be underlying support for SHIB among its holders. However, the significant drop in large transaction volume indicates a shift in investor sentiment, with whales and institutional players showing less interest in accumulating the token.

The decline in large transaction volume for SHIB comes at a time when the broader crypto market is experiencing significant volatility. This volatility has led to a decrease in trading activity among whales and institutional players, who are typically more active during periods of market consolidation or decline. The reduced activity among these players suggests that they are taking a more cautious approach to the market, which could be a sign of further market downturns in the near future.

Despite the bearish sentiment surrounding SHIB, the token has managed to hold steady in price over the last day. This steady price movement, coupled with the slight increase in price over the last 24 hours, suggests that there may be underlying support for SHIB among its holders. However, the significant drop in large transaction volume indicates a shift in investor sentiment, with whales and institutional players showing less interest in accumulating the token. This shift in sentiment could be a sign of further market downturns in the near future, as investors become more cautious in their approach to the market.