Shiba Inu has seen some interesting price action in the past few days, alongside market tensions across various sectors. As recently highlighted by NewsBTC, a significant bearish trend in the stock market has extended its influence to the cryptocurrency space, and SHIB has not been left behind. As such, the meme token dropped to $0.00001088, marking its lowest point in over six months.

However, the crypto industry is a cycle of ups and downs, and many experienced investors are aware of this. Experienced investors understand that such price drops often present buying opportunities, especially for assets with strong community support and long-term potential. Therefore, many have seized the opportunity to accumulate tokens at low prices. One such interesting accumulation comes from a SHIB whale, with on-chain data showing the acquisition of hundreds of billions of tokens from a centralized exchange.

Whale buys Shiba Inu worth millions

The whale accumulation in question was spotted via on-chain data on the Arkham Intelligence platform. This data reveals that a specific whale address, identified as “0x4B5C,” made the substantial acquisition of 220.34 billion SHIB tokens over the past 48 hours. The accumulation unfolded via a series of transactions, the first and largest of which was the acquisition of 216.397 billion SHIB tokens. This was followed by 3.55 billion tokens and another 400 million tokens. At the time of the acquisitions, the tokens were collectively worth approximately $3 million.

A deeper analysis of the transaction data traces the token’s origins back to Coinbase Prime Custody, Coinbase’s secure storage and management solution for institutional investors. The involvement of Coinbase Prime Custody indicates that this whale is likely an institutional player or a high-net-worth individual who uses institutional services to manage their crypto holdings. Such a significant move reflects confidence in the token’s future, despite its recent price drop.

Speaking of the price drop, the recent decline underscores the inherently speculative nature of meme coins. SHIB’s sharp drop was caused by a dip in Bitcoin’s price, which was enough to push it below several key support levels that it had successfully held for the past six months.

SHIB has since recovered some of its losses since reaching a low of $0.000011. At the time of writing, SHIB is trading at $0.00001333, which is a 22.5% recovery from its recent low of $0.000011. This upward movement suggests that some investors have taken advantage of the lower prices to re-enter the market or increase their holdings, as in the case of address “0x4B5C”. However, SHIB has not yet fully recovered from the recent downturn, as it is still down 16.2% in a span of seven days.