Shiba Inu Whales Reverse Course, SHIB Sees Positive Net Flows

Shiba Inu (SHIB), the popular meme-based cryptocurrency, has witnessed a significant decline in large-holder net flows over the past week. According to data from IntoTheBlock, SHIB's large-holder net flows plummeted by 44,431% from 3.5 trillion tokens on February 7 to negative 792.81 billion tokens the following day. While net flows remained relatively stagnant in the subsequent days, the trend has recently shifted, with the asset recording a positive net flow of 303.43 billion SHIB in the last 24 hours.

Large-holder netflows track the balance of inflows and outflows from wallets belonging to major SHIB holders, commonly called "whales." A positive netflow indicates accumulation, meaning that whales are acquiring more tokens. Conversely, negative net flows suggest that large holders are reducing their positions, which can indicate selling pressure or portfolio rebalancing. The sharp reversal in SHIB's net flows suggests that whales may have taken profits or reallocated their assets following previous accumulation. However, the return to positive net flows in the past day indicates a potential shift in sentiment or renewed buying interest.

The broader cryptocurrency market has seen increased volatility, with prices reacting to macroeconomic developments. Over the past 24 hours, the total crypto market capitalization has declined by 1.82% as traders await the release of U.S. consumer price index (CPI) data. This uncertainty has impacted several digital assets, including SHIB, which recorded a slight 0.19% decline, bringing its price to $0.00001584, before stabilizing at 0.00001641.

Altcoins, including meme coins like SHIB, have struggled to recover following a recent sell-off. Data from Glassnode indicates that altcoins have experienced one of the largest devaluations in market history, diverging significantly from Bitcoin's price action. The token's trading volume has also reflected this downturn. According to Glassnode, the trading volume for SHIB futures contracts declined by 90%, falling from $2.72 billion to $0.28 billion. This drop suggests a sharp reduction in speculative interest, which had previously contributed to the asset's price movements.

The digital asset's drastic decline in net