Shiba Inu Falls Out Of Favor With Ethereum Whales, Will This Affect SHIB Price?

For the longest time, the meme coin Shiba Inu (SHIB) had been an Ethereum whale favorite. This support was driven by the rapid growth of the cryptocurrency that netted some of these whales millions of dollars in profit. However, with the crypto winter, SHIB has suffered one of the worst declines, causing Ethereum whales to move away from the meme coin.

Shiba Inu Falling Out Of Favor

At one point, the Shiba Inu holdings of the top 5,000 largest Ethereum whales had reached as high as $1 billion at its peak. Since then, there has been a steady decline in the price of the digital asset and the whales have exited a good portion of their positions over time.

Even at a time when Ethereum whales were reducing their SHIB holdings, the meme coin had managed to feature in their top 10 holdings by dollar value. That is until now when the largest ETH whale holdings no longer feature SHIB.

These whales who hold an average of $8.4 million worth of ETH have replaced their top token holdings with metaverse token MANA, which now makes up 35.59% of their token holding value, excluding ETH. Next in line is stETH which makes up 34.21%, followed by ANT, accounting for 12.45%.

SHIB price struggling at $0.0000085 | Source: SHIBUSD on TradingView.com

Will This Affect SHIB Price?

Shiba Inu’s price is already down about 5% in the last 24 hours as of the early hours of Friday but this decline cannot be attributed to the elimination of the meme coin from the top 10 holdings of Ethereum whales. The broader crypto market had suffered similar losses with bitcoin falling below $17,000.

Besides this, SHIB does not look to be doing badly for itself. The meme coin is now on the watchlists of more than 1.8 million Coinmarketcap users, making it one of the highest. It is also the seventh most viewed cryptocurrency on the data aggregation website.

The community effort to burn as much SHIB as possible to reduce supply is also ongoing. In the last day, a little over 14 million SHIB tokens were burned, according to data from tracker Shibburn. Currently, more than 41% of the total SHIB supply is now sitting in burn (dead) wallets.

Shiba Inu was changing hands at a price of $0.0000085 at the time of this writing. Currently the 16th largest cryptocurrency by market cap, the coin’s price is down 7.94% in the last week.

Featured image from Analytics Insight, chart from TradingView.com