Dog-themed cryptocurrency Shiba Inu (SHIB) has recently seen an increase in large holder netflows, according to IntoTheBlock data, skyrocketing by 724% in the week.
Contributing to this increase is a surge in Shiba Inu's large holder netflows from -400.59 billion SHIB on Jan. 21 to 665.28 billion SHIB on Jan. 22. Negative netflows indicate selling while positive increase in netflows suggests accumulation. The change from negative to positive net flows in the week might suggest a shift or reversal from net selling to accumulation.
The recent positive sentiment in the broader cryptocurrency market may be driving whales to increase their holdings across various crypto assets. Bullish expectations and market optimism often spur large holders or whales to make significant moves.
Whales often accumulate large amounts of cryptocurrency when they believe the asset is undervalued or has growth potential. The recent increase in net flows could indicate that whales might be anticipating a major move for Shiba Inu's price amid its current consolidation.
In addition, the anticipation of impending Shiba Inu developments or announcements may be driving the increase in netflows.
Toward the weekend, Astra Nova and Shiba Inu revealed details of their partnership, paving the way for a new AI survivor mode, SHIB token burns and a new era in crypto gaming. An interesting detail of the announcement is a SHIB burning mechanism, a continuous system in which a portion of the revenue generated will be allocated to burning SHIB.
SHIB major move ahead?
At the time of writing, SHIB was trading down 2.15% in the last 24 hours to $0.000023 owing to profit-taking in the larger crypto markets, which had seen $228 million wiped out in crypto liquidations, per CoinGlass data.
Shiba Inu has broadly consolidated within its moving daily averages of 50 and 200 since mid-December. The range has narrowed in recent days, indicating that a major move might be brewing.
A break above or below the 50 and 200 daily moving averages, around $0.0000233 and $0.00001925, respectively, would determine Shiba Inu's next price direction.
A break above the daily SMA 50 would trigger a fresh uptrend in the SHIB price, causing it to escape its present range. On the other hand, support remains at the daily SMA 200 if the current declines continue.
