Whales abandon Shiba Inu: What’s next for SHIB price?
  • As many addresses continue to sell part of their holdings, SHIB is at risk of dropping to $0.000014.
  • As the Shiba Inu network became overvalued, Shiba Inu activity decreased.

Shiba Inu, according to AMBCrypto’s on-chain analysis [SHIB] It may be hard to recover from the recent drop, and this is after looking at the distribution of holdings in the meme coin.

Specifically, the focus was on balances by shareholdings, which shows whether existing holders are increasing their holdings or divesting some of their holdings.

Nobody wants meme coins

At the time of writing, both retail and large Shiba Inu investors had reduced their balances, but while some of the retail investors added tokens, the large group did not.

For example, those holding SHIBs worth more than $10 million have seen their balances drop by 35.22%, and this occurred within the past 30 days.

Further evidence was presented in the $10,000 to $100 million range. It plummeted Holdings fell 31.68%. The $1 million to $10 million group saw their balances fall 4.56%.

Expanding distribution of Shiba Inu

Source: IntoTheBlock

Whales are groups that hold large amounts of cryptocurrency and therefore have a large influence on the price. With the recent drop, the price of Shiba Inu may fall further despite the situation it has recently faced.

At the time of writing, SHIB is trading at $0.000016, which represents a 14.88% decrease over the past seven days.

If holdings continue to decline, the token price may fall further. In this case, the price of SHIB could fall to as low as $0.000014. The NVT ratio is another indicator that predicts a price drop.

Are SHIBs overpriced?

NVT stands for Network Value to Transactions (NVT), which helps determine if a coin is overvalued or undervalued.

A high NVT ratio means that the market cap is greater than the trading volume, in which case the network and token are overvalued.

However, if the NVT ratio hits its lowest point, it means the network is undervalued. In this case, it means that transactions on the network are exceeding the market cap.

In the case of Shiba Inu, spike It reached its all-time high on June 22. This means SHIB is overvalued, so this prediction of $0.000014 is likely to come true.

Shiba Inu Networking is Overrated

Source: Glassnode

Meanwhile, Shiba Inu had a very low 24-hour active addresses on its network. Active addresses measures the number of users participating in transactions on a network.

SHIB user activity has decreased

Source: Ssntiment

Is Your Portfolio Green? Check out our Shiba Inu Profit Calculator

If the indicator rises, it is a bullish sign. But if it falls, users should Leaving a networkThis could create a risk of prices falling.

In the case of SHIB, the low figure means that the demand for SHIB is also minimal, so it may be difficult for the price to reach higher levels in the short term.

Related Article


Leave a Comment