Shiba Inu Whales Accumulate Amid Market Correction, Hinting at Potential Recovery

Shiba Inu is currently experiencing a bearish correction; however, recent on-chain data suggests a potential recovery on the horizon.

Notably, there has been a significant surge in activity among large holders, or whales, in the past 24 hours. According to IntoTheBlock, the large holder netflow has increased by 45% in the last day and a remarkable 3,840% over the past 48 hours.

This substantial shift indicates a growing interest from whales, as they appear to be accumulating SHIB tokens, with a net inflow of 322.7 billion SHIB on October 1, reversing a previous trend of outflows.

In September, Shiba Inu marked a significant turning point by breaking a six-month downtrend, soaring by 63% from a low of $0.00001304 to a three-month high of $0.00002141. However, the token has since corrected, experiencing a 24% decline, with its current price hovering around $0.00001646.

Despite this downturn, the accumulation activity from whales and other buyers has played a crucial role in preventing further losses. The token has found support at the $0.00001609 level, as bulls have successfully defended this price multiple times since October 1.

The recent accumulation by whales suggests that they are taking advantage of the price declines, potentially positioning themselves for a price rally in October. This behavior often indicates confidence in the asset’s future performance. Market analysts will be closely monitoring this trend, as whale activity can significantly influence price movements in the cryptocurrency market.

With the strong support established by the whales, Shiba Inu appears to be in a relatively stable position for another upward movement, provided that broader market conditions remain favorable.