200 billion SHIB Whale selling! Will Shiba Inu face a big dump or welcome an amazing big pump?

Shiba Inu (SHIB) market has seen significant movements recently— a Whale who accumulated coins for two months suddenly dumped 200 billion SHIB, with a market capitalization of about 24 million USD, sparking intense discussions in the market regarding price movement. Although this dumping was viewed by some investors as a bearish signal, technically, SHIB still has the potential for a strong Rebound, and it may even record astonishing pump after breaking through key resistance.

Whale 200 billion SHIB sell details

(Source: Arkham)

Position Background: The Whale bought 200.48 billion SHIB through a large CEX platform two months ago, at a price of about 0.00001200 USD, with a total value of approximately 24 million USD.

Dumping action: Two days ago, the Whale liquidated its holdings in one go, estimated to profit around 2 million dollars.

Timing is sensitive: Selling occurs when the SHIB price is approaching the 200-day EMA, which is a technical indicator commonly used to determine long-term trend reversals.

Technical Analysis and Market Reaction

(Source: Trading View)

Price structure: SHIB is approaching the trend line resistance of the descending channel for the past few months.

Short-term price movement: If it breaks through that resistance, the first target price will be $0.00004567, followed by a possible retracement and consolidation, with a final potential pump of over 1,000%.

Trading Volume: Despite the Whale dumping, the trading volume has still increased by 36% in the past 24 hours, indicating an active buying sentiment in the market.

RSI Indicator: Has broken through the midline, indicating bullish momentum, and is expected to break through 0.00001600 USD next, confirming the formation of a higher high.

Short-term and Long-term Price Forecast

Short-term resistance: 0.00001600 USD (looking towards 0.00004567 USD after breaking through)

Mid-term potential: If it successfully breaks through and holds, the technical indicators suggest the possibility of achieving more than a 10-fold increase.

Risk factors: If the price fails to break through the descending channel, it may fall back to the support level of 0.00001200 USD or even lower.

Meme Coin Market Background

Market sentiment: As investor risk appetite rebounds, the meme coin sector becomes active again.

Other catalysts:

1. Pudgy Penguins (PENGU) has announced the news of launching an ETF, driving up the enthusiasm in the sector.

2. Emerging meme coins like Token6900 (T6900) have performed impressively during the presale stage, attracting attention from investors.

Capital rotation: If mainstream coins consolidate, funds may further flow into high-volatility meme coins like SHIB.

Conclusion and Key Points for Investors to Observe

Although the Whale's dumping behavior may put pressure on SHIB in the short term, the technical indicators and market sentiment show that Shiba Inu still has strong rebound potential.

Investors should pay attention to:

1. The breakthrough situation of the resistance level at 0.00001600 USD.

2. Is the trading volume continuously increasing?

3. The overall capital flow of the meme coin sector.

As long as the market sentiment aligns with the technical structure, SHIB will not only avoid falling to 0 USD during this cycle, but it may also experience a crazy market trend that could double or even increase tenfold.