On-chain data suggests that large investors have been showing interest in Shiba Inu recently as they have been moving a high number of SHIB transfers.
Shiba Inu Large Transactions Have Been High In Number Recently
As pointed out by an analyst in an X post using data from the market intelligence platform IntoTheBlock, the Shiba Inu whales have been on the move over the past month.
The on-chain indicator of interest here is the “Number of Large Transactions,” which tracks the total number of transfers on any cryptocurrency network exceeding $100,000 in value.
Generally, only the whale entities are capable of making such large transfers, so the Number of Large Transactions may be considered to reflect the activity of these giants.
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When the value of this metric is high, it means that the asset is observing a large number of large moves currently. Such a trend may be a sign that the whales are actively interested in cryptocurrency right now.
On the other hand, the indicator being low could suggest the whales are looking at other markets at the moment as they aren’t making many transactions for the asset.
Now, here is a chart that shows the trend in this indicator for Shiba Inu over the last month or so:
The value of the metric appears to have been going up in recent days | Source: @C__thumbs on X
As the above graph shows, the number of large transactions for Shiba Inu has shown relatively high values at different points in the past month and has also appeared to be climbing during the last few days.
The lower chart shows the data for another metric, the “Large Transactions Volume.” This indicator measures the total volume of transactions greater than $100,000 combined moving on the network every day.
It would appear that while the number of transfers happening on the network right now is similar to that seen during the spike earlier in the month, the volume back then was notably larger.
This would naturally suggest that the whale transfers currently taking place aren’t of the same scale. Nonetheless, the metric isn’t at particularly low levels, either.
“Large whale transactions have amassed around 30 trillion SHIB in May, making Shiba Inu one of the most traded tokens by whales so far this month,” notes the analyst.
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Now, what does this high whale activity mean for the memecoin’s price? Since these indicators don’t differentiate between buying or selling transactions, it’s hard to say anything about where the coin might go based on them alone.
One thing, however, that’s usually true is that whales being active can induce higher volatility in the price. As such, Shiba Inu may be more likely to witness sharper price action if these humongous entities continue to make moves.
SHIB Price
At the time of writing, Shiba Inu is floating around $0.0000241, down more than 2.5% over the last seven days.
Looks like the price of the memecoin has been going down over the last few days | Source: SHIBUSD on TradingView
Featured image from Dall-E, IntoTheBlock.com, chart from TradingView.com
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