Recent on-chain data reveals a significant concentration of Shiba Inu (SHIB) supply in the hands of just ten large holders, raising concerns about potential market volatility and manipulation. According to analytics firm Santiment, the top 10 SHIB whales control a staggering 61.3% of the memecoin’s total supply.
In comparison, Ethereum (ETH) has 46.1% of its supply held by the top 10 whales, while Chainlink (LINK) and Toncoin (TON) have a more evenly distributed supply at 33.1% and 32.8%, respectively. This high level of centralization in SHIB ownership could lead to sharp price fluctuations if these whales decide to sell their holdings.
However, the data also suggests that these large holders have been holding tight to their SHIB tokens over the past few months, which could signal confidence in the project. Santiment notes that if these whales continue to hold or accumulate, it could potentially reward smaller traders who rely on the behavior of these key stakeholders.
Despite this, the concentration of supply in a few hands makes SHIB more susceptible to price manipulation and volatility compared to other altcoins with a more balanced distribution. Investors should be aware of the risks associated with such a centralized ownership structure and exercise caution when trading or investing in SHIB.
At the time of writing, Shiba Inu is trading around $0.0000152, down almost 22% over the last week. The memecoin’s future price action may largely depend on the decisions of these top 10 whales, making it crucial for traders to monitor their behavior closely.
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Tags: Shiba Inu, SHIB, Whales, Supply Distribution, Market Volatility, Altcoins, Cryptocurrency
Source: https://www.newsbtc.com/shiba-inu/61-3-of-shiba-inu-supply-compares-other-altcoins/