According to Shiba Inu’s on-chain data, recorded large transactions increased to 341 in the past 24 hours from 82 transactions at the week’s low, implying a strong surge in investors. The total volume of these large transactions stands at 5.7 trillion SHIB, having reached a seven-day high of 8.97 trillion SHIB on May 16, 2024.
There are a few reasons why this increased activity might occur in large transactions. Expectations of some major price action may have caused the whales to reposition. Beyond that, there could be strategic portfolio adjustments, new partnerships or ecosystem developments within the Shiba Inu project that have not yet been announced.
According to the SHIB price chart, Shiba Inu is trading within an uptrend channel pattern, with the current price level at around $0.00002550. The 50 day EMA is supporting the price, while the 200 day EMA is closing below the current price, indicating a generally medium to long-term bullish trend.
The Bollinger bands are expanding slightly, indicating that volatility is starting to increase and could soon bring more substantial price movements. The Relative Strength Index is at 54.79, showing that the SHIB has not been oversold or overbought, so there could be a potential move higher.
One way or another, the most likely reason behind the surge lies in the impending wave of large transfers. Whales have the means to access information and resources that ordinary traders do not have, thus positioning themselves ahead of market changes. Thus, the increase in activity on SHIB can be interpreted as an indication of their confidence in the potential future earnings from investing money in Shiba Inu.