Investor Makes $3.2M Profit from Shiba Inu After 2 Years

A whale nets $3.2M profit from Shiba Inu after 2.6 years amid ongoing SHIB accumulation by other large holders and significant market activity.

In a move reported by Spot On Chain, a crypto whale has capitalized on a profitable investment in Shiba Inu (SHIB), netting a $3.2 million gain after holding for 2.6 years.

The whale initially purchased 199 billion SHIB, valued at approximately $1.68 million, between October 2021 and September 2023. Recently, all SHIB holdings were transferred to Coinbase, marking an impressive 191% profit.

A whale just took a $3.2M (x2) profit from $SHIB after 2.6 years!

The whale bought 199B $SHIB (est. cost: $1.68M) from #Coinbase and DEX between Oct 10, 2021, and Sep 11, 2023,

And then deposited all $SHIB (now $4.88M) to #Coinbase 3 hours ago, realizing an est. profit of $3.2M… pic.twitter.com/rMkMf7Z13i

— Spot On Chain (@spotonchain) May 17, 2024

How The Whale Made Profits

Per Spot On Chain, the whale accumulated SHIB tokens from both Coinbase and decentralized exchanges at an average price of $0.000008468. This accumulation, spanning from October 10, 2021, to September 11, 2023, involved an estimated investment of $1.68 million.

In an earlier trade, the whale experienced a notable loss. Following the donation of $1 billion worth of SHIB by Ethereum co-founder Vitalik Buterin to India’s Covid relief on May 12, 2021, the whale bought 138.568 billion SHIB at an average price of $0.000008385 when the price of Shiba Inu dropped.

However, the whale miscalculated the timing of the market recovery and sold the tokens prematurely on September 26, 2021, at $0.000007117 per token, realizing a sale amount of $1.16 million. This decision resulted in a realized loss of approximately $176,000, a -15.1% return on their initial investment. Notably, this sale occurred just before SHIB’s price skyrocketed to its all-time high, making the early exit particularly costly in hindsight.

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According to Spot on Chain, the whale’s earlier loss in the initial trade must have taught him the importance of patience.

Shiba Inu Accumulation and Profit Takers

The profitable exit comes amid the ongoing accumulation of Shiba Inu by other large holders. Since March, whales and sharks have added over 4.35 trillion SHIB to their balances, driven by the coin’s price surge in late February. Addresses holding between 100,000 and 1 million SHIB, as well as those with over 1 billion tokens, have seen their cumulative balances increase significantly.

It is important to note that other whales are also shifting their taken profits to other asset classes, possibly as a change of strategy. A notable investor, who made an $8.24 million profit from Shiba Inu, has reportedly shifted focus to Wrapped Bitcoin (WBTC). This investor acquired 533.6 billion SHIB in March 2024 for $7.75 million and eventually cashed out with a 106% return. Now, the same investor is accumulating WBTC.