What to know:
- A SHIB whale moves 14.5B tokens to OKX after two years of inactivity, exiting the position.
- The investor bought near the 2024 peak and sold holdings for $84K, booking a $422K loss.
- The SHIB price dropped about 86% from highs, highlighting risks of long-term holding.
A major Shiba Inu (SHIB) holder has left the cryptocurrency market after a period of inactivity that lasted almost two years. On-chain data indicates that the investor transferred billions of SHIB tokens to an exchange, realizing a considerable loss.
On-chain data has confirmed that a Shiba Inu investor has transferred 14.5 billion tokens to a cryptocurrency exchange, OKX, marking the end of their long period of inactivity.
Shiba Inu Whale Transfers 14.5B SHIB to OKX
According to Arkham Intelligence data, a Shiba Inu investor identified as “0xbOe8” initiated a transaction on March 15, which involved transferring 14.5 billion SHIB tokens to another account identified as “0x1c1B.” The tokens were then transferred to a hot wallet belonging to OKX at 15:12 UTC.
Source: Arkham
Data shows that the investor first acquired the dog-themed token during a significant rally in the market in March 2024. At this time, the Shiba Inu coin had reached an all-time high of $0.00004567.
The investor withdrew the meme coin tokens from the Binance exchange during the peak period. The amount the investor paid for the tokens is estimated at $506,830.
According to data, the same quantity of meme coin tokens was sold for about $84,640. This indicates that the investor made a loss of around $422,190.
The decline signifies an estimated 83% drop in the value of the portfolio. The meme coin market had been experiencing price declines for a long time before this.
On-chain activity shows the wallet remained largely dormant after the initial purchase. Apart from small transactions, which could be spam, there were no notable transactions in the account for nearly two years.
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The overall market environment offers insight into this. The rally in March 2024 happened at a time when the entire crypto market was enjoying a period of high momentum.
Shib Price Drops Sharply After 2024 Peak
During that time, the overall sentiment among traders was that the market would continue to move higher based on the previous cycles. Nevertheless, this has not been the case in the subsequent months.
Since the peak, the token has been in a constant decline. The token is currently changing hands at $0.00000605. This represents an approximate decline of 86% from its 2024 highs.
Source: CoinMarketCap
At its lowest point in February, it reached a price of around $0.00000507. This is an even deeper decline before a slight recovery in recent weeks.
The transaction also points to the influence of market cycles on long-term investors. Holding through long periods may lead to significant realized losses.
However, the performance in the meme coin market is also subject to differences in investors’ experiences. Some investors have experienced gains in the past, while others have experienced losses depending on entry timing.
The latest on-chain movement adds to ongoing market observations. It reflects the risks associated with volatile assets such as meme coins in changing market conditions.
Also Read: Shiba Inu Records $50K Short Liquidations in 24 Hours
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