After its greatest daily sell-off since September, Shiba inu (SHIB), the famous meme token backed by a strong internet community, stayed in the red.
According to statistics from Coinbase and TradingView, SHIB’s price has decreased by more than 15% on the daily chart on Thursday. The token fell 22% on Wednesday, the greatest decrease since it fell 87.6% on September 10th.
After a SHIB whale (big holder of the token) made a move on their 40 trillion SHIB (worth around $2.8 billion at the time) holdings, the canine-themed token has lost three days in a row. The action sparked speculation about what would happen to the SHIB billions.
According to Etherscan, the whale had moved the SHIB to four addresses at the time of publishing, where the tokens remained. There was no additional evidence that the SHIB whale was attempting to sell the tokens on the open market.
While the SHIB whale’s purpose for transferring the tokens is unknown, the market responded strongly: SHIB’s price has been plummeting since then, according to Santiment statistics, as SHIB flows to controlled exchanges increased.
“There…seems to be an upsurge in SHIB sell-offs.” According to Ibisbegovic, over 1.36 trillion more SHIB flowed to centralized exchanges in the last 24 hours than flowed away from them, while the number of SHIB deposit addresses hit 1,641 on Wednesday, a 142 percent increase since Nov. 1.
A jump in a token’s deposit addresses to centralized exchanges, according to Santiment, might suggest an increase in short-term selling pressure as more tokens become accessible on the exchanges.
Meanwhile, according to Santiment, the number of unique addresses engaging with the SHIB token has decreased by 66.1 percent since peaking around 107,000 on Oct. 28. On Oct. 28, 53,546 addresses were engaging with SHIB for the first time, but today, the number of new addresses holding SHIB has plummeted by more than 64%.
“The hype has certainly died down in the past week,” Ibisbegovic said.
Santiment’s data also shows that more than one SHIB whale has moved their SHIB holdings: SHIB transactions worth at least $100,000 also started increasing on Wednesday.
On social media platforms including Twitter and Telegram channels, the SHIBArmy blamed Kraken for the latest sell-off: The San Francisco-based crypto exchange failed to list SHIB on its platform as it promised in a Monday Tweet.