A plethora of transactions from the whale wallet that recently converted $3,400 to $1.55 billion has led to the fall of Shiba Inu to 11%.
Whale made four transactions of 10,000,000,100,000 SHIB each to four different wallets. A single transaction was valued at $586 million, totaling about $2.3 billion.
A whale is a cryptocurrency term that refers to individuals or entities that hold large amounts of cryptocurrency. Whales hold enough cryptocurrency that they have the potential to manipulate currency valuations.
Traders have speculated that the holder of Shiba Inu will sell his token as whale transactions takes an erratic trend. Supply of the subject coin is centralized, thus any liquidation would lead to a detrimental price fall.
After the wallet was first identified, social media users speculated that the owner may have forgotten or lost their key, given the lack of activity in the wallet since last year.
Jacob Oralce explained that price of Shiba Inu will fall significantly if the rumored sale occurs “If he decided to sell these bags, SHIB would plummet -99.99% to zero,” he said
Data from CoinGecko shows that price movement has been on a downward trend, Price fell by 31.2% and 10.8% in 24 hours.
According to reports from CoinMarketCap Shiba Inu’s supply is very concentrated with 72% of the coin held in the top 10 wallets, whale wallet currently holds $1.8 million worth of SHIB