1.4 Trillion Shiba Inu (SHIB) in 24 Hours: What Happened

Shiba Inu’s recent on-chain activity shows a dramatic decrease in transaction volume, following the aftermath of the WazirX exchange hack.

Points

• Shiba Inu’s transaction volume dropped to 1.4 trillion SHIB in the last 24 hours.
• The recent WazirX exchange hack led to a massive 50 trillion SHIB sell-off.
• Market makers stabilized the SHIB market, preventing a significant price drop.

Shiba Inu’s most recent on-chain dynamics have been extremely volatile. With more than 50 trillion SHIB transacted a few days ago, there has been a rapid retrace, delivering only 1.4 trillion SHIB in transactional volume in the last 24 hours.

The WazirX exchange hack’s aftermath was largely blamed for the recent massive transaction, which involved 50 trillion SHIB. A large amount of SHIB was dumped on the market as a result of this incident, which might have had a negative effect on its price.

However, market makers like Wintermute intervened to stabilize the market by purchasing SHIB from decentralized exchanges and depositing it to centralized exchanges for arbitrage purposes, limiting the impact of the sell-off.

The sharp decline in transaction volume to 1.4 trillion SHIB raises the possibility that the initial sell-off and panic have eased. It suggests that either the whales or large holders of SHIB who may have been responsible for the massive sell-off have completed their transactions or are delaying more significant moves for the time being.

At first, there was concern that SHIB would drop significantly in price, but it was able to hold its support levels around $0.00001778. Price stability demonstrates the strength of SHIB’s market support by showing that the market has absorbed the excess liquidity without experiencing a significant correction.

Examining the transactional activity data, we find that the quantity of large transactions has declined dramatically, which is consistent with the volume decline as a whole. In the near term, this trend may continue as the market steadies and investors start to feel more confident. Furthermore, holding onto the current support levels will be essential for SHIB to prevent additional volatility.

解説

• Hack Aftermath: The WazirX exchange hack had a significant impact on SHIB’s transactional volume. The large sell-off led to increased market activity but was quickly stabilized by market makers.
• Market Stabilization: The intervention by market makers like Wintermute played a crucial role in maintaining SHIB’s price stability. By purchasing and redistributing SHIB, they prevented a major price drop.
• Future Outlook: The sharp decline in transactional volume suggests a stabilization period for SHIB. Maintaining current support levels will be vital to prevent further volatility and ensure market confidence.