As the crypto community finally welcomes the approval of a spot Bitcoin ETF, the spotlight has also turned to meme coins, particularly Shiba Inu. Large investors have been making significant moves by purchasing or withdrawing Shiba Inu from various crypto exchanges, resulting in a notable decline in exchange balances.
On Tuesday, crypto analysis firm Lookonchain highlighted the influx of fresh whale wallets accumulating Shiba Inu. Notably, in a post on X, the firm narrowed down on wallet “0xF633”, which withdrew a substantial amount of 1.44 trillion SHIB ($13.36 million) from Binance and Gateio over the past few days.
This comes a day after the firm highlighted another fresh wallet, which withdrew 546.34 billion SHIB valued at $4.92 million from Binance. This pattern of whale accumulation has been observed over the past three or so months following the spot bitcoin ETF approval, which could trigger bullish movements for various cryptocurrencies. ZyCrypto reported the U.S. Securities and Exchange Commission (SEC) approved the spot Bitcoin ETF after over a decade of waiting.
Simultaneously, the Shiba Inu supply on cryptocurrency exchanges has plummeted to a six-month low, resulting in a mere 7.38% of the total SHIB supply being left. Insights from Santiment underscore the substantial decrease over the last six months, marking a notable dip from its previous representation of 8.60% of the total supply.
This diminishing presence on exchanges emerges as a pivotal factor in the potential recovery of Shiba Inu, as historically, a decline in exchange reserves has been indicative of diminished selling pressure on the cryptocurrency.
Additionally, Shiba Inu (SHIB) anticipates a surge to the much coveted $0.001 price point, propelled by its flourishing ecosystem, particularly with the rising popularity of Shibarium among a substantial community of developers.
The SHIB burn rate has also witnessed a remarkable upswing in recent months. Data from Shibburn, as of the current moment, reveals a staggering 27,503.25% surge in the burn rate over the past 24 hours, involving just over 9.3 billion SHIB tokens sent to the burn address. This strategic token burning is poised to diminish the token supply, theoretically increasing SHIB’s value.
At press time, SHIB was trading at $0.00000935 after a 1.54% surge over the past 24 hours. Subsequently, its volume also shot up by 68% to $115.6 million, reflecting growing activity and demand for SHIB among market participants.
Notably, the coin has already surpassed its 200-day Exponential Moving Average (EMA) at $0.00000890, expected to act as immediate support in its uptrend.