Shiba Inu’s price at the start of trading on Wednesday, April 24, 2024, was $0.000027, representing a 50% increase in the last 10 days. Analysis of on-chain data reveals how investors responded to the recent $12 million TREAT funding round, which drove the market rally.
Shiba Inu Price Surges as Team Secures $12M Funding
On Monday, April 22, Lucie, the marketing lead for Shiba Inu, announced on X (formerly Twitter) that the ecosystem team had successfully secured $12 million in funding for their upcoming blockchain project.
Shiba Inu SHIB Price Movement
The Shiba Inu funding round received support from prominent crypto venture capitalists such as Animoca Brands, Comma 3 Ventures, and Stake Capital. As expected, the Shiba Inu price experienced a rapid surge of 20% within 72 hours of the announcement, as bullish traders aimed to capitalize on potential gains from the planned development of the Layer-3 blockchain.
Looking beyond the price movement, on-chain data indicates that a surge in activity from whale investors has been a significant driving force behind the SHIB rally.
Shiba Inu Whales Return to Action Following Funding Announcement
During the correction phase in mid-April, Shiba Inu whales significantly reduced their trading activity. However, after the team’s $12 million funding announcement, on-chain data shows that the whales have reentered the market.
The large transactions metric from IntoTheBlock monitors individual trades valued at over $100,000 per day, providing insight into whale activity.
Shiba Inu Large Transactions | IntoTheBlock
As shown in the chart above, on April 18, Shiba Inu recorded only 72 large transactions. However, this figure has now increased by 170%, with the latest data revealing that the whales conducted 195 large transactions on April 23.
An increase in whale transactions during a price uptrend often amplifies the rally for several reasons. Firstly, it enhances market depth and liquidity, allowing early sellers to execute trades at favorable prices without impeding the rally.
If this trend continues with the confidence boost from the funding announcement, SHIB bulls may target a parabolic breakout above the $0.000030 milestone for the first time since April 1.
Disclaimer: This article provides information and should not be considered financial advice. The opinions expressed in this article are the author’s own and do not reflect the views of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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