In the midst of a price lull for Shiba Inu (SHIB), a notable shift in the cryptocurrency landscape has emerged with a substantial accumulation of 140 billion SHIB tokens by a new whale.

Popular crypto transaction tracking service Lookonchain highlighted this development on Thursday, just as the market anticipates an imminent breakout in SHIB prices. Notably, the noteworthy purchase is part of a larger trend, with four whales amassing a total of 2.4 trillion SHIB from various exchanges over the past month.

One noteworthy instance involves a whale accumulating 1.44 trillion SHIB worth $14.54 million from both Binance and Gateio in the last three days. Another whale amassed 237.87 billion SHIB worth $2.4 million from Binance 19 days ago. Additionally, it’s worth recalling that Justin Sun acquired 577 billion $SHIB from Binance about 22 days ago.

That said, the latest whale acquisition unfolds against a backdrop of strategic token removals from circulation. Just a day ago, and undisclosed entity moved 9.3 billion SHIB to a “dead wallet” with the burn rate skyrocketing over 27,500% in under 24 hours as seen on Shibburn.

Concurrently, data from crypto analytics firm IntoTheBlock revealed a staggering 1,300% surge in large transactions by SHIB whales between Tuesday and Wednesday. These transactions, involving at least $100,000 worth of SHIB, numbered 62 and amounted to 9.38 trillion SHIB, valued at nearly $89.88 million.

Despite these developments, the “Dogecoin killer” has lagged behind other cryptocurrencies. Notably, in the past month, while Bitcoin (BTC) increased by 9.70% and Ethereum (ETH) by 17.85 %, SHIB registered a modest 5.86% gain, according to CoinMarketCap.

Shiba Inu’s recent price fluctuations have prompted a more detailed analysis of critical support and resistance levels. The recent rebound above the 100 Exponential Moving Average is particularly noteworthy and considered a bullish signal. Presently, Shiba Inu is confronting its most pivotal resistance at around $0.0000116. A breakthrough and sustained closure above this level might indicate a potential recovery, whereas a decline below it could trigger additional sell-offs.

Adding to the bullish perspective is the observation that the price is currently within a “falling wedge”, a robust bullish reversal pattern. The breakout from this pattern is often considered a strong indication of a potential upward trend.

At press time, SHIB was trading at $0.0000090, reflecting a surge of 2.85% over the past 24 hours.

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Filed under: Bitcoin - @ January 27, 2024 1:27 pm