The popular altcoin Shiba Inu (SHIB) is showing signs of recovery after a significant decline, despite a 60% fall from its local peak. This period of turmoil has drawn interest from major investors or ‘whales’ who are actively accumulating. Technical indicators and on-chain data indicate a potential strategic accumulation process behind this downturn. Although the short-term outlook for SHIB investors remains unclear, the medium-term perspective appears promising.
Technical Indicators: A Glimpse into Shiba Inu’s Current Stand
Shiba Inu is currently trading just above the $0.0000134 level, staying below the 200-day moving average (MA). The 100-day MA remains the largest technical resistance, hindering an upward movement. These indicators suggest that while the current price action hasn’t fully entered a bullish trend, fluctuations around significant thresholds continue.
The recovery from April’s low points highlights SHIB’s resilient nature. With the Relative Strength Index (RSI) standing at 56, it shows that the altcoin is neither overbought nor oversold, indicating a consolidation period where energy is accumulating. This scenario might be setting the groundwork for the next major move from a technical analysis perspective.
Aside from price movements, the buying and selling volumes do not yet indicate a clear direction, but signs of quiet accumulation by major investors are strong. Specifically, the $0.0000128 mark serves as robust support, and surpassing $0.0000146 could signal a medium-term trend reversal.
Silent Whale Accumulation: An Uptrend Signal for Altcoin
According to IntoTheBlock data, the wallets with significant SHIB investments have increased by 24.14% in the last 90 days. Purchases from these investors rose by 8.78% just in the past week. On the contrary, the percentage of exiting major investors decreased by 62.6% over the last month and by 48% in the last week. This data suggests that, instead of exiting, large investors are solidifying their positions in SHIB.
Wallet distribution further supports this insight. Addresses holding between $100,000 and $10 million in SHIB coins have increased by 16.2% and 6.45%, respectively. These investors are serious players pursuing long-term potential rather than tourists seeking short-term gains.
Alternatively, a mild decline in addresses holding between 100 million and 1 billion SHIB indicates redistribution of assets among stronger hands. Such movement often indicates the beginning of price stability and a decrease in short-term speculative fluctuations. All these developments suggest a cautious yet positive future scenario for SHIB.
