Shiba Inu Price Surges 12% Amid 525% Spike in Whale Transactions

Shiba Inu (SHIB) has experienced a 12% price recovery amid a surge in whale activity, signaling renewed interest in the meme coin. As of the latest data, SHIB is trading at $0.00001368, representing a 5.77% increase in a short span. This rise has been largely attributed to large-scale transactions by whale holders, whose activity has spiked by more than 525% over the last 48 hours [1].

The whale transactions have been substantial, with many involving sums between $1 million and $10 million, demonstrating strong institutional or high-net-worth investor participation. Additionally, SHIB has accelerated its token-burning efforts, with burn rates increasing by as much as 3,400%. This strategy aims to reduce the overall supply and potentially support the price [1].

However, the bullish momentum is being tempered by weak trading volume. Despite the price increase, total trading volume has dropped by 28.44% to $228.63 million, raising concerns about the sustainability of the rally. Low volume often signals a lack of broad market participation and can limit the ability of a coin to maintain upward momentum [1].

The community has also been a focal point of attention. Kaal Dhairya, a key SHIB developer, has called for greater unity and proposed an election to establish a SHIB president. This suggestion has been met with skepticism, with many community members arguing that the priority should be rebuilding trust in the ecosystem rather than creating new governance structures [1].

The market activity surrounding SHIB reflects a broader trend among meme coins, where sentiment is heavily influenced by whale behavior and social media engagement. The price action in August has been particularly eventful, with SHIB surging over 114% on August 1, following abnormal whale activity. This contrasted with earlier declines in mid-July, where despite falling prices, on-chain metrics suggested that holders were becoming more committed [1].

Looking ahead, the path for SHIB remains uncertain. While whale accumulation and token burns are positive indicators, the lack of volume and community cohesion remain hurdles. Investors are now watching closely to see whether these whale-driven movements can translate into sustained price appreciation or whether the market will consolidate further. The Bollinger Bands, which have contracted to their tightest level since early 2024, suggest that a breakout—either bullish or bearish—is on the horizon [1].

Source:

[1] Shiba Inu (SHIB) Sees 12% Recovery Amid Whale Activity and Community Challenges (https://en.coinotag.com/shiba-inu-shib-sees-12-recovery-amid-whale-activity-and-community-challenges/)