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- 1 The cryptocurrency market, particularly Shiba Inu (SHIB), had a significant withdrawal of 577 billion SHIBs in a day.
- 2 The withdrawal was segregated into two transactions, resulting in a total of 577 billion SHIB tokens from Binance.
- 3 Justin Sun, founder of Tron, has made this withdrawal, leading to a decrease in the market cap of Shiba Inu.
Justin Sun, the founder of Tron, has made a substantial withdrawal of Shiba Inu (SHIB) tokens from the market, divided among the two transactions.
Transaction Details
There is a total withdrawal of 577 billion tokens, divided into two transactions of massive 500 billion and 77 billion SHIBs.
Both transactions occurred within a week. The first withdrawal of 500 billion tokens, which amounted to approximately $5.2 million, occurred on December 18, 2023, reducing the market cap of SHIB by more than 5%.
The second transaction occurred on December 19, 2023, just a few hours after the previous transactions of 77 billion SHIB tokens. It amounted to $0.81 million.
PeckShieldAlert, a blockchain security firm, revealed transaction details through tweets.
Consensus Behind the Transaction
It was previously observed that the recent withdrawal was not the only one Justin Sun made. However, it added to a series of similar withdrawal transactions.
The withdrawal was made when SHIB was experiencing a bullish trend and the community was still bullish about the prices of SHIB. It illustrates a sense of boosted confidence building around the SHIB cryptocurrency.
The list of withdrawal transactions from Binance includes 127,510 LINK (ChainLink) tokens worth $1.85 million, 202,385 STORJ (Storj) tokens worth $0.20 million, 53.68 billion PEPE (Pepe) tokens valued at $0.767 million, and 13,904 DYDX (dYdX) tokens amounting to $0.43 million.
Despite the significant dump of SHIB tokens, the token managed to continue the bullish trend, supporting a growth in prices.
Strategic Shift
Justin Sun has recently made a strategic shift that was unanticipated. He made a move into meme coins and promising projects. His strategy was first disclosed on May 11, when he used X (formerly Twitter) to announce his strategy.
In a tweet, Sun announced that he had decided to commence actively trading some promising projects and meme coins through his own public address.His tweet has left the cryptocurrency community speculating about his intentions and the reaction of the market to this announcement.
Some of the community members believed Sun’s active involvement in the market would bring significant price movements to the subject tokens.However, other members were concerned with the transparency and potential risks associated with such huge transactions.
The significant transaction sizes further increase volatility in the market. There is a more than 5% increase in the price of SHIB as an outcome of the transactions within 24 hours. While the token surged more than 8% in a week, leading to a monthly upswing of more than 22%.
The constant increase in the price of SHIB has attracted the attention of more crypto investors. This huge withdrawal can give other interested investors the opportunity.
Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.
