Decentralized cryptocurrency Shiba Inu (SHIB) was in the spotlight of crypto experts on Tuesday amid increased whale activity and the resulting drop in the asset's price.
The number of whale transactions has increased over the past 24 hours, raising questions about what this is all about and what will happen to the cryptocurrency next.
According to Whale Alert, a crypto analytics resource that tracks the movement of digital assets, an unknown wallet executed a transaction to transfer 4.23 trillion SHIB tokens to another wallet. At the same time, the price of the token dropped sharply, and Shiba Inu's burn rate decreased. This led to various speculations about the token, CoinGape reported.
It is reported that on December 25, an unknown wallet (...a22fd8b51b) sent over 4 trillion SHIB tokens to another wallet (...a8d75d719) for a total of $45.12 million.
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According to the developers, 6.87 million SHIB tokens have been burned in the last 24 hours, which is lower than usual. Experts believe that transactions to move SHIB tokens between whales against the backdrop of a decline in the value of the asset will lead to increased interest among investors in the cryptocurrency. It is also noted that whale activity coincides with a drop in burn rates.
At the time of writing, the price of Shiba Inu fell by 1.4% overnight, trading at $0.00001067. At the same time, the cryptocurrency maintained a final weekly gain of 2% and a month-to-date gain of over 27%.
Shiba Inu's trading volume fell to $181.132 million, showing a decrease of 7%. In addition, there are 590 trillion SHIB tokens in circulation, and the asset's market capitalization reached $6,287,403,424.
Interestingly, the drop in the cryptocurrency price occurs against the background of whale activity over the past 24 hours, which provokes the development of speculative movements on the token, indicating a strong market for Shiba Inu.
Analysts are optimistic about the future growth of Shiba Inu, especially in light of the fact that Shiba Inu has risen 27% in the past month, indicating a massive bullish move. Shiba Inu is projected to be worth $0.00001078 by the end of 2023.
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