Shiba Inu is bucking the recent bearish trend, especially with the growing adoption of Shibarium Layer 2 networks. This time, it’s the large holders that are driving the bullish returns. In particular, these large holders have increased net flows by more than tenfold.
Shiba Inu Large Holder Netflow Jump 1079%
Net flows to large Shiba Inu holders have increased significantly, according to on-chain data tracker IntoTheBlock. These large wallets have seen net flows (the total difference between inflows and outflows) increase by 1079% since December 10th.
In total, net flows from these large wallets reached a whopping 4.68 trillion SHIB. Now, this is significant compared to the previous day’s numbers, which the tracker showed to be just below the 287 billion SHIB mark.
The logical explanation for this massive increase in net flows is that these whales are trying to take advantage of low SHIB prices. On December 10, SHIB prices were still trading above $0.00001, with net flows below $287 billion.
However, as SHIB prices began to fall, net inflows to these large accounts began to increase. The further the price fell, the more the whale’s wallet was filled. This shows a clear intention to accumulate tokens in the belief that the price is ready to bounce back.
SHIB price falls below $0.00001 | Source: SHIBUSD on Tradingview.com
SHIB investment sentiment turns strong
The price decline has understandably dampened investor optimism somewhat. However, this appears to be short-term, especially as indicators begin to turn upward. The first is the SHIB burn rate, which showed an upward trend on the last day.
Data from Shibburn shows that the burn rate of meme coins has increased by 49% in the last 24 hours. This is because a total of 2.88 billion tokens have currently been burned in the community. Typically, this happens when investors expect a turning point in price.
Additionally, Shiba Inu fear and greed indices remained at a neutral level. This means that there is still a good level of strength left after the price drop. As long as indicators continue to improve, we could soon move back towards recovery.
Featured image from CryptoRank, chart from Tradingview.com
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Source: NewsBTC.com