Whale Selling and Bearish Sentiment Weigh on Shiba Inu Price

Shiba Inu (SHIB) has been experiencing a mix of signals in its price movement, with recent data indicating potential downside risks. The meme coin traded at $0.00000516 on Wednesday after recovering nearly 4% over the previous two days.

A Santiment analysis shows that certain 'whale' wallets are offloading SHIB tokens, which could be a bearish sign for the asset's price movement. Whale wallets holding between 1 million and 10 million tokens have shed 40 billion tokens since August 22, while those holding between 100,000 and 1 million tokens have accumulated 990 million SHIB.

Derivatives and on-chain data also indicate a cautious tone for SHIB. The CoinGlass long-to-short ratio read 0.93 on Wednesday, which is below one and indicates bearish sentiment among traders. CryptoQuant's summary chart shows heating market conditions in the spot and futures markets, with large whale orders after the recent price surge.

The technical outlook for Shiba Inu shows that key support holds strong at $0.00000489. If SHIB continues its recovery, it could extend the rally toward the 200-day EMA at $0.00000569, but momentum indicators show mixed sentiment with a bearish crossover on Sunday.