Data from the market analysis platform To the Block shows that Shiba Inu Whales have been divesting their holdings over the past 30 days. This development is likely due to several factors, including the meme coin’s unimpressive price action of slow.

Shiba Inu Whales Are Shrinking Their Homes

Data from IntoTheBock shows that Shiba Inu Whales reduced their holdings over the past 30 days. Specifically, there was a drop of over 6% in SHIB investor holdings between $100,000 and $1 million. Additionally, there was a drop of over 3% and 7% in Whales holding between $1 million and $10 million SHIB and $10 million Shiba Inu, respectively.

This bearish mood among Shiba Inu Whales it seems to have increased in the last seven days because net flow of gigantic holders fell by over 670%. The drop in this metric indicates that these investors are getting rid of their tokens instead of accumulating more. Meanwhile, it is also worth mentioning that gigantic transactions fell by almost 5%

Shiba Inu unimpressive price action can be cited as one of the reasons why whales get rid of their tokens. second largest meme coin down over 7% and 14% over the past seven and thirty days. While the meme coin’s downtrend can be attributed to Bitcoin’s decline, it’s worth mentioning that the Shiba Inu has sometimes failed to recover even when the flagship cryptocurrency has recovered.

These whales are also believed to be limiting their losses as Shiba Inu remains vulnerable to further declines. Data from IntoTheBlock shows that most current SHIB holders bought the meme coin when It was above 0.00002so it’s understandable that these investors try to apply risk management when seeing how far a particular meme coin deviates from that price level.

SHIB adoption has stagnated

Data from IntoTheBlock shows that Shiba Inu Adoption has been stagnant for some time now. This means that the meme coin is no longer seeing the influx of fresh investors that it once did. This is undoubtedly worrying, considering how investor category helps attract fresh capital and drive up prices.

It looks like Shiba Inu will suffer the same fate as Dogecoin, which has seen Network activity have remained at the same level for three months, and the number of fresh addresses is also failing. A likely explanation is that meme coin traders currently favor newer meme coins because they are likely to bring them higher profits than Dogecoin or Shiba Inu.

As a Cryptocurrency Analyst Altcoin Sherpa excellentmajor meme coins like Dogecoin and Shiba Inu are likely to see only a few price increases in this bull run and are only suitable for whales who can invest a significant amount. This explains why 73% of the Shiba Inu supply is currently concentrated in the hands of these whales.

At the time of writing, the Shiba Inu is trading at around $0.00001412, up more than 6% in the last 24 hours, according to data data from CoinMarketCap.

Featured image created with Dall.E, chart from Tradingview.com