Data shows a Shiba Inu whale has made several withdrawals from the crypto exchange Binance in the past day. Here’s what this may mean.
Shiba Inu Whale Gradually Transferred Coins Out Of Binance Today
As per data from the crypto transaction tracker service Whale Alert, several sizeable Shiba Inu transactions have been spotted on the Ethereum blockchain during the past day. In total, there were 10 different transfers, each ranging between $5.7 million to $6.4 million in value.
Such large transactions are usually a sign of movement from the whales, and due to the large scale involved in them, transfers like these have the potential to cause noticeable effects on the market.
Now, which way any transaction would move the market depends on the exact intent behind it. Why did the whales make 10 transfers so large today? The answer to that question may be found in the full details surrounding these transactions.
Below is the data for the earliest of the Shiba Inu whale transfers that took place within the past day:
Looks like this massive movement of coins on the Ethereum blockchain required a fee of just $3.7 to be possible | Source: Whale Alert
As can be seen above, this Shiba Inu whale transfer involved a movement of 499,999,668,400 SHIB from an address attached to the cryptocurrency exchange Binance, to an unknown address. “Unknown” addresses are those that aren’t affiliated with any known centralized platform, and are thus assumed to belong to investors’ personal wallets.
Transfers like these, where coins move from centralized exchanges to offsite wallets, are called “exchange outflows.” Usually, investors make outflows to hold onto their coins for extended periods, so this kind of trend can be bullish for the meme coin’s value.
Now, what about the other transfers? Here is the data for the whale transaction that took place next:
This transfer seems to have taken a fee of only $2.9 | Source: Whale Alert
Interestingly, both the sending and receiving addresses in this Shiba Inu transfer were exactly the same as the ones in the other one. In fact, as it turns out, all but two of the 10 transactions involved the same pair of addresses.
The two transactions that didn’t exactly match still had the same receiving address, implying that the entity involved in all of the 10 transfers was likely the same whale.
It’s currently unclear why the whale gradually made these transfers over the last 24 hours, instead of making a couple of large transactions to get the entire stack off at once, given that the addresses involved here were mostly the same.
As for how this combined $60 million move might affect the price, it depends on whether the whale truly intends to accumulate these coins, which would be bullish, or if the investor is planning to sell through over-the-counter (OTC) deals. Naturally, Shiba Inu could feel a bearish pressure from the latter.
At the time of writing, Shiba Inu is trading around $0.00001241, up 7% in the last week.
SHIB has risen in the past day | Source: SHIBUSD on TradingView