Shiba Inu Facing A Selloff? On-Chain Analyst Issues Warnings
Shiba Inu could face a major sell-off in both the short and medium term, which could hit the price hard. There are two “SHIB whales” that could pose a threat to the cryptocurrency’s current uptrend. Within the last 24 hours, Shiba Inu has risen by 2.2%.
According to on-chain data provider Lookonchain, two hours before press time, a “smart money” investor made a large Shiba Inu transfer. The whale just sent 182 billion SHIB, the equivalent of about $2.3 million to crypto exchanges Crypto.com and Gemini.
The last time he transferred SHIB to Crypto.com in this magnitude, the price of SHIB fell by 7%. This was in mid-December 2022, when the whale transferred 200 billion SHIB worth $1.67 million to the Singapore-based exchange. And about 5 hours after his transfer, the price of SHIB fell by 7%.
As the data provider writes, the smart money bought SHIB at an extremely cheap price. On August 7, 2020, the unknown whale bought a whopping 15.28 trillion SHIB with just 10 ETH. The purchase price was thus just $3,796.
He then made 1,967 ETH, about $7 million by buying and selling SHIB on Uniswap. Moreover, the whale started trading Shiba Inu on centralized exchanges when the meme coin was listed on exchanges like Binance and Crypto.com.
He bought SHIB whenever the price was low and sold SHIB when the price was high. Although it cannot be said with guaranteed certainty that the whale will actually sell, this smart money investor could have a strong short-term impact on the price.
Is Voyager Selling Its Shiba Inu Next?
But, in the medium term, the Shiba Inu price could face another threat: a sell-off by the bankrupt crypto lender Voyager. As Bitcoinist reported, there have been several suspicious transfers in recent weeks that pointed to a sale of crypto assets.
“It seems that Voyager is selling assets through Coinbase,” Lookonchain said yesterday. The data provider noted that Voyager has received $100 million USDC from Coinbase in the last four days. “And Voyager has sent assets to Coinbase almost every day from February 14.”
The cashed out assets that went from Voyager to Coinbase since February 14 are 2.24 trillion SHIB ($28 million), 15,635 ETH ($25 million), 28.5 million VGX ($12.85 million), 640.000 LINK ($4.74 million), 7.75 million OCEAN ($3 million), 350,000 UNI ($2.28 million), 3.26 million MANA ($2.15 million), 4 million ENJ ($1.88 million) and 2.3 million SAND ($1.64 million).
However, this is far from all. Voyager currently still holds $631 million in assets, with Shiba Inu holdings being the third highest in value after Ethereum and USDC. The bankrupt company’s assets still holds 172,223 ETH ($276 million), 186 million USDC, 6.5 trillion SHIB ($81 million), 2.14 million LINK ($15.8 million), and 581,052 AVAX ($10.5 million), among others.
If Voyager is indeed in the process of selling all of its crypto assets, that could put another big damper on the SHIB price. At press time, however, the price has so far been spared from either risk. SHIB was trading at $0.00001272.
Featured image from LeandroDeCarvalho / Pixabay, Chart from TradingView.com