Whales are not coming back; can retail investors still chase? Even if 53.9 million SHIB are burned in a day, the market remains indifferent. Bitcoin continues to siphon off funds, and altcoins are experiencing a silent retreat, with SHIB standing on the brink of a liquidity gap.
In the last 30 days, the inflow of whales into SHIB (Shiba Inu coin) has seen a shocking shrinkage, dropping from 80 trillion coins to less than 20 trillion coins, a decline of 83%. Not only has the inflow decreased, but the outflow during the same period has also dropped by over 80%, which means - whales have almost 'gone silent', neither buying nor selling.
On-chain data clearly shows that since early May, the activity of large wallets holding SHIB has plummeted. This signal of 'liquidity drying up' indicates that the market is gradually shifting its focus, and large holders are no longer participating in major trades, with funds quietly withdrawing from SHIB, a long-standing meme coin.
1. SHIB is stagnant at a low level, unable to break through key resistance.
In terms of technical charts, SHIB's price is currently hovering around $0.00001450, below the key resistance level of $0.00001596, and struggling to effectively stay above the 50-period EMA (currently at $0.00001466).
Repeated attempts to break through have failed, forming a clear consolidation structure;
Trading volume continues to shrink, currently at only 2.97 billion, indicating that market momentum is severely lacking;
Since the failed rebound on May 13, prices have repeatedly hovered between $0.00001400 and $0.00001500.
This is a typical 'leaderless market': there is no strong buying support, and it lacks new driving factors.
2. BTC's market capitalization dominance is rising again, marginalizing SHIB.
According to data, Bitcoin's market cap dominance has risen to 52%, up from just 36.95% at the end of 2022. Behind this actually lies a larger structural shift:
BTC has become a consensus asset for risk aversion, while altcoins have become 'liquidity victims'.
Under this structure, funds are increasingly concentrated in top assets like BTC and ETH, while meme tokens like SHIB, which lack new narratives and slow development progress, are first to be 'marginalized' by funds.
The current market is no longer keen on short-term sentiment speculation, especially after the 'ETF era' began, as mainstream assets are drawing retail and institutional attention with product compliance advantages.
3. A 12,700% burn rate surge fails to move the market.
On May 26, data showed that the daily SHIB burn amount reached 53,913,481 coins, with the burn rate surging to 12,715%, marking one of the rare large-scale burns this year.
But the problem is - 'burning hot but prices remain cold'.
Looking back at May 24, 37.95 million SHIB were also burned that day, but the market response was similarly tepid. This reflects a problem: simply burning coins can no longer boost market confidence.
The market values **'structural supply and demand changes'**, rather than short-term numerical accumulation. Moreover, a daily burn of 60 million SHIB is just a drop in the bucket compared to the total supply of nearly 600 trillion coins.
4. Development stagnation + weak ecosystem progress, SHIB is trapped in a 'narrative desert'.
Aside from weak prices and trading volumes, since May 2025, there have been almost no significant updates or project advancements in the SHIB ecosystem. Compared to SOL, ARB, and other on-chain projects frequently launching new applications or proposals, the SHIB ecosystem appears unusually quiet.
At present, SHIB's core advantages mainly lie in:
Shibarium L2 network (but trading volume has long failed to break growth bottlenecks);
Attempts with DeFi and debit cards (user growth is weak);
Community 'sentiment' and brand influence (facing diminishing returns).
A lack of application support, cooling of major players, and retail investors' wait-and-see attitude have formed the current predicament of price stagnation + sharp decline in activity + on-chain lethargy.
5. Mlion.ai suggests: The focus is not on 'how much has been burned', but on 'who is buying, who is leaving'.
At this time, the most common mistake investors make is: getting excited about burn data while ignoring the direction of on-chain capital flow.
Such structurally weakening coins can be closely observed using Mlion.ai's on-chain behavior analysis module:
Real-time changes in major wallets;
On-chain token inflow and outflow paths and frequencies;
The trend of social media sentiment index changes for SHIB;
The trend of new wallet growth or migration reflects new interest from retail investors.
What you need is not 'good news', but 'reversal signals' supported by data.
Conclusion: The quietest time is when you are out of favor, but it may also give birth to opportunities.
Currently, SHIB is under the triple pressure of liquidity contraction, declining market attention, and low momentum in technical charts.
But history has repeatedly shown that the explosion of meme assets often comes from the overlap of a 'sentiment bottom' and 'new structural stimuli'.
It could be a new application landing, a policy relaxation, or a sudden shout-out from a KOL; once a tipping point is formed, the 'price movement' in a low liquidity environment can be even more intense.
The key is whether you have made early judgments, warnings, and selections using Mlion.ai.
Disclaimer: The above content is for informational sharing only and does not constitute any investment advice!
