Shiba Inu (SHIB), the second largest memecoin by market value, continues to be on the radar of investors. The popular altcoin is currently going through a volatile trading day, and recent price movements have triggered fear and increased speculation among market participants.
Shiba Inu’s Wallet Movements that Scare Investors
Shiba Inu, which has taken its place among the altcoins whose prices have fallen today, signals that investors are turning to safer assets amid uncertainties in the market. The decrease in the price of SHIB has led investors to speculate about the reasons behind it. Although there has been no concrete development, concerns have focused on the strange wallet transactions carried out by a large Shiba Inu whale in recent times.
While the whale movements surrounding Shiba Inu have scared many investors, some have started examining the strange wallet address transactions made by the Shiba Inu whale for potential answers to the decline. At this point, it appears that a wallet address starting with 0x1406 has adopted a strategy of splitting massive amounts of SHIB into smaller, less conspicuous wallet addresses. The whale’s strategy has raised doubts in the Shiba Inu market and led to negative speculation.
Crypto data analysis company Bubble Maps shed light on the transactions of the aforementioned Shiba Inu whale in multiple tweets, reporting that the activity in the wallet address is a distribution strategy. The journey of the whale’s SHIB dates back to 2020 when it collected 100 trillion SHIB tokens shortly after the release of the second largest memecoin. The SHIBs were then distributed among 13 wallet addresses, which resulted in significant findings in terms of tracking and monitoring. These wallet addresses controlled 10% of the total SHIB supply, which was worth over 1 billion dollars at the beginning of 2020.
When SHIB’s market value reached 40 billion dollars in 2021, the whale redistributed the SHIBs in smaller amounts. This included the distribution of 60 trillion SHIB among six wallet addresses, the distribution of 30 trillion SHIB among another six wallet addresses, and the retention of 10 trillion SHIB in the original wallet address. While Bubble Maps could not explain the exact purpose behind the wallet address constantly distributing among wallets, it indicated that these transactions could have a single purpose. Furthermore, since the creation of these wallet addresses, they have remained inactive without any buying, selling, or transferring activity, which caught the attention of Bubble Maps.
Moreover, Bubble Maps added that an anonymous individual claiming to be the owner of the wallet address requested the removal of tweets regarding the wallet addresses. The rationale behind the request was that it opened the door to potential attacks and posed privacy and security issues faced by major cryptocurrency investors.
Shiba Inu’s Price Performance
At the time of writing, Shiba Inu is trading at $0.00000731, down 1.12% in the last 24 hours, with a daily trading volume of $76.5 million, down 4.77%.
On the other hand, Shibburn, a platform that tracks SHIB burns, reported that the burn rate of SHIB increased by 203.57% in the last 24 hours, reaching 68.48 million SHIB. The significant jump in the burn rate drew investors’ attention. With the recent burns, the circulating supply of SHIB decreased to 579.71 trillion.
