SHIB Spikes, But Long-Term Holders May Be Preparing to Sell

Popular meme coin Shiba Inu surged to a 15-day high yesterday, sparking renewed activity among long-term holders (LTHs). 

On-chain data shows that a key metric tracking the movement of this investor cohort spiked to a three-month high, signaling that seasoned investors are likely moving coins to cash in on the recent rally. 

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SHIB Long-Term Holders Move Dormant Tokens

SHIB’s brief rally to a 15-day high during Tuesday’s trading session prompted its long-term holders to move their previously dormant tokens around. This is reflected in the surge in the token’s age-consumed metric, which measures the movement of long-held coins. 

According to Santiment, this reached a three-month high of 2715.48 trillion yesterday.

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SHIB Age Consumed. Source: Santiment

This metric is significant because long-term holders rarely move their coins. When they do, especially when an asset’s price grows, it hints at a shift in market trends. 

Significant spikes in age-consumed like this during a rally suggest that long-term holders are offloading, which could increase market selling pressure.

In addition, SHIB shows a persistently negative Price–Daily Active Addresses (DAA) divergence, signaling that network activity is lagging behind the token’s recent price rise. 

At press time, this on-chain metric, which tracks whether a corresponding network activity supports an asset’s price movement, stands at -62.63, highlighting weak support from actual user engagement.

SHIB Price DAA Divergence. Source: Santiment

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For SHIB, this means the recent rally may be fragile. With network activity not matching price momentum, the token could face short-term pullbacks as selling pressure from long-term holders increases.

SHIB Price Standoff: Support Holds, But Bears Are Waiting

At press time, SHIB trades at $0.00001294, holding above support formed at $0.00001187. If long-term holder selloffs continue, this support floor could weaken, leading to a deeper decline toward $0.00001004.

SHIB Price Analysis. Source: TradingView

However, if demand grows and SHIB’s upward momentum strengthens, it could rally to exchange hands at $0.00001408.

Source: https://beincrypto.com/shib-price-spikes-but-long-term-holders-sell/