Will Shiba Inu (SHIB) Price Lose A Zero After 2,952% Surge In Whale Inflows?

Shiba Inu (SHIB) has drawn attention after a sharp rise in whale inflows, price movement, and token burns. On May 7, whale inflows jumped by 2,952%, raising market speculation about SHIB possibly deleting a zero. At the same time, its price saw an 12% weekly increase, while the burn rate surged by over 4,800%. These developments have led to growing interest in SHIB’s future price movement.

Shiba Inu Whale Inflows Rise as Accumulation Grows

Data from IntoTheBlock shows that Shiba Inu whale inflows rose from 238.91 billion SHIB to 6.42 trillion SHIB on May 7. These large wallets are usually linked to high-net-worth investors or institutions. When inflows into such wallets grow, it suggests possible accumulation.

The following day, May 8, net inflows to these wallets reached 6.21 trillion SHIB, rising from 132.54 billion SHIB. This increase of over 6,050% in netflows may point to more whales increasing their holdings. Whale activity often increases when prices pull back and traders seek long-term storage.

This pattern may indicate growing confidence among these holders. Historically, whale accumulation has been followed by strong price action in crypto markets. However, analysts are watching whether these flows will continue or reverse.

Shiba Inu Price Movement and Technical Indicators

The SHIB price moved up from $0.00001274 to an intraday high of $0.00001408 on May 8. At the time of reporting, it trades near $0.00001500, which is about 11% higher than the previous level. This upward move also comes as the broader crypto market rises, led by Bitcoin nearing $102,000.

The SHIB price stayed near the 50-day Simple Moving Average (SMA) before its recent rise. If the price holds above this SMA, it may turn into support. The 200-day SMA sits at $0.00001265, which traders are also watching as a key level.

If the price breaks past resistance near $0.000015, some traders expect another upward move. Technical charts suggest the next hurdle could lead to SHIB possibly deleting a zero from its price. However, this depends on continued buying pressure and broader market support.

Open Interest and Trading Volume Increase

The SHIB derivatives market also saw a rise in activity. Open interest increased by 20.72%, reaching $182.67 million. Trading volume grew 81.79% to $167.61 million. This growth signals that more traders are entering the market.

Short-term traders, who hold tokens for less than 30 days, increased by 6.66%. This rise may point to more speculative activity, as new participants join in response to price movement.

Traders tend to enter when prices are steady, expecting momentum to build. If SHIB holds its current level, further price swings may follow due to increased trader activity. Analysts often watch these trends to estimate future volatility.

SHIB Burn Rate Spikes and Community Activity

The Shibburn platform reported that over 15.8 million SHIB tokens were destroyed in the past 24 hours. This represents a 4,833.98% increase in the token burn rate. A single wallet transferred 15.29 million tokens for burning.

Token burns reduce the circulating supply, which is still over 589 trillion tokens. The Shiba Inu team uses Shibarium, its layer-2 network, to manage token burns. On this network, 30% of gas fees are used to buy SHIB, which is then sent to burn addresses.

Lucie, a Shiba Inu team member, wrote on social media about a possible 1,000% rise in SHIB’s price. She clarified that it was a personal “affirmation” and not an official forecast. Her post read, “Shib’s about to do a 1000% in 3 days. I’ve already told my snacks, my cat, and my boss.

The SHIB community responded with strong engagement. While such a rise is unlikely in a short time, price activity and social sentiment remain active.