Cumberland, an institutional digital asset trading firm, has transferred a substantial quantity of Shiba Inu (SHIB) tokens, valued at approximately $4.5 million, to various cryptocurrency exchanges, including Coinbase and OKX. This move comes amidst a noticeable slowdown in the market for SHIB.

Cumberland Offloads Almost All Shiba Inu Tokens

Over the past 24 hours, Cumberland executed significant transfers involving more than 210 billion SHIB tokens, according to on-chain data provider The Data Nerd (@OnchainDataNerd). The major portion of these tokens, approximately 144 billion SHIB, valued at roughly $3.46 million, was moved to the US-based crypto exchange, Coinbase. This transaction occurred within the last 12 hours, aligning with SHIB’s market price of $0.000024.

An earlier transaction within the same 24-hour period involved Cumberland transferring 50.36 billion SHIB worth $1.17 million to OKX as well as another 1.69 billion SHIB ($45,000) to an unnamed destination. These transfers combined have reduced Cumberland’s holdings in SHIB to just about 2 billion SHIB tokens, which currently value around $48,642, according to Arkham Intelligence data.

6 hours ago, #Cumberland just deposited 144B $SHIB (~$3.3M) to #Coinbase.

10 hours ago, they did deposited 50.36B $SHIB (~$1.17M) to #OKX.

Just now, they just have 1.69B $SHIB (~$45k).

Address:https://t.co/CtC84h2EJL pic.twitter.com/UoeueKsrA5

— The Data Nerd (@OnchainDataNerd) May 15, 2024

These transactions appear to follow a recent pattern of behavior from Cumberland. The firm’s transaction history over the past several days reveals a trend of more withdrawals than deposits, particularly involving the SHIB token.

The timing of Cumberland’s transactions correlates with a period of stagnation in the broader SHIB market. After breaking out to the downside from a bull pennant pattern in mid-April, the price of SHIB has since entered a consolidation phase, oscillating within a narrow range. The daily chart indicates that SHIB is currently trading between $0.00002058 and $0.00002750, showing a sideways movement that suggests a period of indecision in the market.

Market analysts often view such significant transfers of “whales” to exchanges as a bearish signal, hinting at potential selling pressure. The motivations behind Cumberland’s current strategy are not publicly known, but the scale of these transactions and the choice of exchanges are critical for market observers.

The ongoing developments have prompted varied speculations about the future movements of SHIB’s price, especially considering the token’s recent lackluster performance in the crypto market.

Currently, the Shiba Inu price is positioned between two key moving averages: the 100-day EMA, currently at $0.00002211, and the 50-day EMA, at $0.00002408. A daily close above or below either of these averages is likely to dictate the short-term trajectory of SHIB’s price.

Should this occur, the focus will shift to the previously mentioned trading range, specifically its resistance at $0.00002750 and support at $0.00002058, as these levels are expected to play a crucial role in the next phase of SHIB’s market activity.

At press time, SHIB traded at $0.00002404.

Featured image from GlobalNewswire, chart from TradingView.com