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Shiba inu price plummets as whales dump holdings

Shiba Inu Price Dips | Whales Sell Off

By

Davina Nguyen

Jun 2, 2025, 08:37 AM

2 minutes of reading

Graph showing a downward trend in Shiba Inu price alongside whale icons representing major holders selling off their tokens.
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The price of Shiba Inu (SHIB) has significantly dropped, reaching levels not seen since April 22. This decline comes amidst a larger cryptocurrency market dip, largely fueled by whale sell-offs. Reports show that whale holdings plummeted from 743 trillion to 723 trillion this year, raising concerns about the stability of this meme coin.

Market Trend and Whale Activity

Whale investors have been active in recent weeks, offloading major SHIB portions, which has had a direct impact on the token's value. Several conversations on forums highlight skepticism regarding the long-term viability of SHIB, with one commenter sarcastically noting, "Wait, you're telling that a random meme coin price is crashing?"

"Meme coins always stage a big comeback. SHIB will inevitably do the same." - A hopeful commenter

The recent downturn is compounded by issues within the Shiba Inu ecosystem. Users cite a sluggish Shibarium layer-2 network with a low total value locked (TVL), which is causing further frustration and contributing to the falling burn rates.

Broader Cryptocurrency Impact

The diminishing price of SHIB isn’t an isolated case; Bitcoin (BTC) and Ethereum (ETH) are also experiencing declines. Observers noted, "BTC and ETH are dipping so that is the reason. I'm not sure why anyone would hold this trash long-term."

This general negative sentiment might spur more selling, escalating the bear market for SHIB and likely other meme coins.

Key Points to Consider

  • πŸ‹ Whale investors have sold off 20 trillion SHIB in 2025.

  • πŸ”₯ Token burn rates are noticeably slower, disappointing many supporters.

  • πŸ“‰ SHIB is facing a technical bear market, with further declines anticipated.

  • βŒ› User sentiment remains mixed; some hold out hope for recovery despite current losses.

The question remains: is this the end of the road for SHIB, or is there a comeback on the horizon?

Community Sentiment

Despite the tumultuous market, many members of the community retain a sense of optimism. As one user said, "It will come back!" This reflects a broader belief in meme coins' potential for resurgence despite current struggles.

As crypto enthusiasts continue to engage in discussions, the future of SHIB will depend significantly on whale behaviors and the project's ability to address critical issues in its ecosystem.

What Lies Ahead for SHIB?

As whale sell-offs continue and market sentiment wavers, it’s likely that SHIB will face further price declines in the near future. Analysts suggest there’s a strong chance of a continued downward trend, estimating a 60% likelihood that SHIB could drop below its current level if whales persist in their offloading behavior. Alternatively, if the Shiba Inu ecosystem can effectively address key issues like the sluggish Shibarium network and enhance its utility, there’s around a 40% chance of stabilization or even recovery in the token's value. The dynamic between whale activity and community sentiment will play a crucial role in shaping SHIB’s trajectory going forward.

A Lesson from the Titanic

The current turmoil surrounding SHIB can be compared to the Titanic's fateβ€”an ambitious venture that initially garners excitement but faces disaster due to unaddressed issues. Just as that ill-fated ship seemed unsinkable, many investors viewed SHIB as a solid investment. However, beneath the hype, the structural weaknesses became apparent, leading to its eventual downturn. This historical parallel serves as a reminder of the importance of sustainability in any venture. Without addressing core challenges, even the most promising projects can find themselves sinking in uncertain waters.