In recent hours, the cryptocurrency market witnessed a move that raised alarms: a Shiba Inu ($SHIB) investor transferred 400 billion tokens to the Gemini platform, according to the analytics account @Spotonchain on X (former Twitter). This action coincides with a 10% drop in SHIB’s price, which experts attribute to the broader market downturn following the recent announcement by the U.S. Federal Reserve.
The investor, known as an “early whale” had previously amassed almost $108 million in total profits from their SHIB investments. After this latest move, they still hold an impressive two trillion Shiba Inu tokens, which are valued at $48.54 million. This return represents 3.7 times their initial investment over the span of just four years, a notable profit given the volatile nature of the cryptocurrency market.
The Role of Whales in SHIB’s Price Volatility
The actions of these large investors, often referred to as “whales,” have become a significant factor in the recent volatility of Shiba Inu’s price. New data indicates that many whales are liquidating considerable portions of their SHIB holdings, which has caused the price to drop sharply from $0.00002618 to $0.00002345. Despite this steep decline, SHIB has shown signs of slight recovery, increasing by 2.64% in the past few hours, offering a glimmer of hope to holders.
Over the past ten days, SHIB has lost more than 21% of its value, following a downward trajectory that aligns with the recent movements of Bitcoin. The world’s leading cryptocurrency, also experienced a significant decline, briefly falling below the $100,000 mark before recovering to surpass $101,000. These movements have added further pressure to the broader cryptocurrency market, impacting smaller altcoins like SHIB.
Meanwhile, the Federal Reserve’s recent decision to reduce interest rates in 2025 was seen as a positive step, but it fell short of the more aggressive cuts that the market had been hoping for. This disappointment triggered widespread sell-offs across the crypto market, amplifying the downward pressure on SHIB.
Now, the crypto community is asking: is this the start of a deeper correction, or will it serve as an opportunity to accumulate more SHIB before a potential market rebound? The direction of the market will depend heavily on the strategic moves of these influential whales, who continue to play a pivotal role in determining SHIB’s future trajectory.
