The majority of Shiba Inu (SHIB) token holders are long-term investors

Recent blockchain data reveals that a significant portion of the Shiba Inu investor base remains committed to holding their tokens long-term

Recent blockchain data from IntoTheBlock (ITB) reveals that a significant portion of the Shiba Inu (SHIB) investor base remains committed to holding their tokens long-term, even amid ongoing market fluctuations.

Despite the token’s underwhelming short-term performance, a large number of addresses continue to retain their SHIB holdings for over a year, signaling enduring confidence in the asset’s long-term prospects.

According to the latest figures from CoinMarketCap, SHIB experienced a 3.92% increase in the past 24 hours, trading at $0.00001530. Over the last seven days, however, the token’s price rose by a modest 3.88%. In the past 30 days, SHIB posted a 16.16% gain, but it remains down by 39.59% on a year-to-date basis and 37.9% over the past six months.

This snapshot highlights a concerning trend for short-term traders, especially given the bleak outlook for the crypto market in 2023. As of late July, Bitcoin (BTC) had experienced a downturn of 50% from its all-time high reached in November 2021. Similarly, Ether (ETH) faced a setback of 46% from its peak.

Optimism Among Long-Term SHIB Holders

However, this narrative is flipped when considering the long-term performance of SHIB. From a low point of $0.0000078 in January 2023, the token managed to rally to highs of $0.00002 in mid-February.

This move represents a substantial short-term gain of 153% on a seven-month period. Moreover, if considering lows reached during the 2022 bear market, the recovery is even more pronounced.

This optimism is reflected in the fact that out of approximately 1.45 million on-chain SHIB addresses being tracked by ITB, about 1.13 million have held their tokens for more than a year.

Classified as ‘holders’ by ITB, these addresses collectively own about 787.39 trillion SHIB, which equates to roughly 79.91% of the 985.3 trillion tokens held on-chain. It’s crucial to note that this figure includes both active and inactive tokens.

In particular, the official SHIB burn address holds a significant portion, collecting approximately 410.74 trillion SHIB. While these tokens are permanently removed from circulation, they are still recorded in blockchain datasets, contributing to the total shown in the analysis.

In contrast to long-term holders, roughly 288,500 addresses have retained SHIB for one to twelve months. Labeled as ‘cruisers’ by ITB, this group holds a combined 171.59 trillion SHIB.

Additionally, about 25,760 addresses are classified as short-term holders, having kept their SHIB for less than a month. These traders currently control an estimated 26.33 trillion tokens.

Investor Sentiment and Price Projections

The substantial volume of SHIB held by long-term addresses suggests continued optimism regarding the token’s future. Many of these holders remain hopeful that SHIB will experience significant price growth, similar to the dramatic surge seen during the 2021 bull market.

Analyst predictions have further fueled this sentiment. For example, Eunice Wong has projected that SHIB could rise to $0.0001 in the current cycle, implying a potential gain of 548.5% from current levels.

It’s no surprise that this prediction has sparked lively discussion among crypto enthusiasts on X, formerly known as Twitter. Some users expressed skepticism towards the feasibility of such a substantial price increase, considering the token’s performance in recent months.

One user highlighted the fact that SHIB had been hovering around $0.00001 for a while, showcasing the limited movement in the short term. Another user pointed out that if considering lows reached during the 2022 bear market, the recovery had been more pronounced.

However, optimism for SHIB’s long-term potential remains high, especially among those who witnessed the token’s performance during the 2021 bull market.

This optimism is reflected in the fact that out of approximately 1.45 million on-chain SHIB addresses being tracked by ITB, about 1.13 million have held their tokens for more than a year.

Classified as ‘holders’ by ITB, these addresses collectively own about 787.39 trillion SHIB, which equates to roughly 79.91% of the 98