The value of Shiba Inu (SHIB) has dropped 13% in a rough week for the cryptocurrency. Despite this, a group of large investors, known as whales, have been steadily accumulating more SHIB over the past few weeks, increasing their holdings. This suggests confidence in the meme coin. However, short-term holders (STHs) of SHIB have been selling off their coins, which is putting downward pressure on the price. The selling activity from STHs may prevent a significant rally in the short term. The increase in supply by whale investors may have been driven by SHIB being undervalued in September, as reflected by its market value to realized value ratio. On the other hand, the cautious selling activity from STHs, who tend to be risk-averse, is impacting the price. The falling on-balance volume (OBV) of SHIB also indicates selling activity and suggests potential downward price movement. If demand continues to decline, SHIB could revisit its previous low. However, if STHs become bullish and start accumulating, it could drive the price of SHIB up to test resistance at a higher level.



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