100 Billion Shiba Inu Whale Transfer to Coinbase Crashes Price by 3%

Trending memecoin Shiba Inu started the week in the red zone after a massive 100 billion SHIB tokens were transferred to the Coinbase exchange. Amid the ongoing price corrections experienced by the global crypto market, large investors are moving huge amounts of tokens, sparking speculations about the intent.

Today, May 13, the general crypto market cap has fallen by 0.66% over the last 24 hours to $2.24 trillion. The prices of top cryptocurrencies like Bitcoin and Ethereum have dropped significantly. According to CoinMarketCap data, BTC and ETH are currently trading at $61k and $2,900 respectively. Consequently, the sentiment across the crypto market as measured by the crypto fear and greed index, rests at 52 points, indicating a period of investor uncertainty. Moreover, SHIB whales are carrying out hefty transactions regardless of the state of the market. Let us look at the transaction in detail.

SHIB Whale Moves 100 Billion Tokens to Coinbase

Earlier today, the blockchain transaction tracker, The Data Nerd, reported that it had spotted a mouthwatering amount of SHIB tokens changing hands. According to the provided data, the whale transferred a staggering 100.4 billion SHIB tokens from his wallet to the centralized exchange, Coinbase. Following this, the price of the token has suffered a loss of up to 3%.

7 hours ago, a whale 0x462 just deposited 100B $SHIB (~$2.24M) to #Coinbase.

Within a week, he accumulated those tokens with avg entry $0.00002408.
If sold at current price, he will have a small loss ~$178k.

His address:https://t.co/NrkJwBbVb1 pic.twitter.com/cAJ7FZdRXg

— The Data Nerd (@OnchainDataNerd) May 13, 2024

The aforementioned tracker also mentioned that the whale had accumulated the Shiba Inu tokens over the week at an average price of $0.00002408. Notably, if the whale sells the holding now, he will suffer a loss of up to $178,000. With this, it is safe to say that the latest transaction is not intended for sale, but could be a part of a distribution strategy by the investor.

A further look at the whale’s wallet reveals that he has other tokens in holding, however, most of the recent transactions involved SHIB. For example, between May 5,6, and 7, the whale accumulated over 100 million SHIB tokens as revealed by the OKlink tracker.

SHIB Price Dynamics Amid Large Transaction

Meanwhile, this crypto move to the Coinbase exchange has sparked discussion across the SHIB community about the effect on the price of the token. According to CoinMarkeCap data, the price of SHIB has slumped by 3% over the last 24 hours. This is worrisome particularly because the dedicated Shiba Inu community has been anticipating a price rebound. As a result of this, its market cap has plummeted by 2.5% to $13 billion.

Conversely, the activities surrounding Shiba Inu, as measured by its trading volume, have witnessed a spike within the recorded time. Per CMC data, SHIB has a 24-hour trading volume of $233.7 million, signifying a 32.11% increase over the last day. Lastly, according to Coinglass data, SHIB’s open interest dropped by 1.68% to $57.99 million, and the number of derivatives increased by 46.46% to $84.39 million.