After three consecutive days of defeat, the Shiba Inu was again in the red mark on Friday. The losses came after large SHIB token holders took profits as the crypto market risk-off.
I #dogecoin And #Shiba Inu Both have experienced major price corrections after their respective Tuesday and Sunday tops. As is often the case, whales foresaw ideal profit-taking moments when their large transactions on each network exploded. https://t.co/6QoIoxkknt pic.twitter.com/p3BAMjcav1
— sentiment (@santimentfeed) August 19, 2022
According to on-chain data, many wallets with significant holdings have been reducing their SHIB positions lately, possibly due to profit-taking. The main culprits here seem to be “investors,” who, according to IntoTheBlock, account for between 0.1% and 1% of the SHIB circulating supply. The Shiba Inu’s circulating supply is approximately 549 billion. This metric indicates addresses that hold a fairly large position in this crypto.
IntoTheBlock provides a distinction between this category and whales, which are addresses that hold more than 1% of the Shiba Inu’s circulating supply and are thus large “investors”. Meanwhile, retail refers to an address other than these two.
Using IntoTheBlock’s proprietary indicator, the Shiba Inu price drop over the past few days has seen a shift towards retail addresses.
On August 14, the day the Shiba Inu increased in price by 36%, retail addresses had a balance of 188.87 trillion SHIB, while 114.38 trillion was near the “investor” category, and whales had 680.07 trillion SHIB.
On August 18, when the price of the Shiba Inu fell further, there was now a balance of 190.09 trillion SHIB at retail, representing an increase of over 2 trillion SHIB for this category of holders. “Investors” had a balance of 112.7 trillion SHIB, a shortfall of more than 2 trillion SHIB, while whales had a slightly higher balance of 680.53 trillion SHIB.
This demonstrated that the Shiba Inu being dumped by these large holders, or “investors”, was picked up by the smaller holders or retail addresses that took the plunge.
Shiba Inu trading volume up 27%
As data from CoinMarketCap shows, the 24-hour trading volume increased by 27.89%, despite the drop in the price of SHIB.
Trading volume is one of the most important metrics for SHIB as a spike in trading volume could show that investor interest in the meme cryptocurrency remains intact.
SHIB was down 10.76% at $0.0000013 at press time.