Whales Dump SHIB, ADA, and ZORA as Altcoin Sell-Off Intensifies: A Deep Dive into the October Exodus
Introduction
The altcoin market is witnessing a significant exodus of large-scale investors as October concludes. Data from leading analytics platforms reveals a concerted sell-off by cryptocurrency whales across several major altcoins, including Shiba Inu (SHIB), Cardano (ADA), and Zora (ZORA). This selling pressure has contributed to a broader market downturn; since October 13, the total market capitalization of altcoins, excluding Bitcoin, has declined by over 11%, falling from $1.62 trillion to $1.45 trillion. The movement is not solely attributable to falling prices but is actively driven by large holders steadily reducing their exposure. While some assets may be seeing quiet accumulation, the data points to three specific altcoins that whales are offloading at an accelerated pace, driven by factors such as delayed breakouts, profit-taking, and waning confidence in short-term performance.
Shiba Inu (SHIB): Meme Coin Whales Lose Interest
Whale interest in the popular meme coin Shiba Inu appears to be waning. Since October 18, wallets holding large amounts of SHIB have been systematically reducing their positions. On-chain data shows that the combined holdings of these whales dropped from 697.88 trillion SHIB to 694.26 trillion SHIB. This represents a reduction of approximately 3.62 trillion SHIB. At the current price of $0.0000098, this sell-off is worth roughly $355,000.
This whale activity aligns with a concerning technical setup for SHIB. The token has been confined within a symmetrical triangle pattern since October 10, typically a signal of market indecision. A more specific technical indicator emerged between October 14 and 20: while the price of SHIB formed lower highs, its Relative Strength Index (RSI), a key momentum oscillator, formed higher highs. This pattern is identified as a hidden bearish divergence, which often signals the continuation of an existing downtrend.
The broader performance context supports this bearish technical outlook. Over the past three months, SHIBA INU is down 27.2%, confirming the persistence of a negative trend. From a technical perspective, a daily close below the $0.0000097 support level could trigger a further decline toward $0.0000092. Conversely, a breakout above $0.000010 might open the path toward $0.000011. However, the current behavior of whales suggests a lack of conviction that such a SHIB price rebound is imminent.
Cardano (ADA): Weak Trendline Break Triggers Whale Exodus
Cardano has experienced notable selling pressure from its largest holders. Crypto whales holding between 100 million and 1 billion ADA tokens began trimming their positions starting October 17. Their aggregate holdings fell from 4.07 billion ADA to 4.04 billion ADA. This sell-off involved about 30 million ADA tokens, which, at the current price of $0.63, is valued at nearly $19 million.
The timing of this sell-off is critical. It commenced on October 17, coinciding with a brief break below the lower trendline of an ascending channel. Analysts note that this particular trendline had only two touchpoints, making it structurally weak. The breakdown appears to have triggered a wave of selling among large holders.
Despite a subsequent price recovery for ADA, the selling from whales has not abated, indicating that confidence remains fragile. Further compounding the bearish sentiment is another instance of hidden bearish divergence observed between October 13 and 20. During this period, the ADA price made a lower high while its RSI formed a slightly higher high. This pattern typically points to trend continuation, which aligns with ADA's three-month performance showing a 21% decline.
The immediate support level for Cardano is at $0.61. A failure to hold this level could precipitate a slide toward $0.59 or even $0.50. To invalidate this bearish outlook and signal a potential trend reversal, ADA would need to clear the significant resistance level at $0.86—a price point approximately 36% higher than current levels that has historically capped multiple Cardano rallies.
Zora (ZORA): Profit-Taking Follows a Spectacular Rally
In contrast to SHIB and ADA, the selling pressure on Zora appears to be primarily motivated by profit-taking following a significant rally. ZORA whales have been cashing out portions of their holdings after the token posted impressive gains of over 61% in the past 30 days. This profit-booking has contributed to a price cooldown, with ZORA slipping 15.6% in the last week.
On-chain metrics confirm this activity. Whale wallets have collectively reduced their ZORA holdings by 6.71%. Their total stash has decreased to 5.45 million ZORA, meaning roughly 390,000 ZORA tokens have been sold over the past seven days.
ZORA’s price action reflects this shift in momentum. After successfully breaking out of an inverse head-and-shoulders pattern earlier in the month—a typically bullish signal—the token’s price is now consolidating inside a symmetrical triangle. This indicates a pause in its upward trajectory and suggests a period of equilibrium between buyers and sellers.
The key level to watch for ZORA is $0.091. If this support fails to hold, a deeper correction toward $0.083 or even $0.065 could follow. However, given the context of its recent surge, this phase is largely interpreted as profit-booking rather than a full-scale trend reversal. A daily close above $0.10, followed by a break above $0.11, would invalidate the short-term bearish setup and could potentially reopen the door for another upward push, likely reviving interest from whale investors.
Comparative Analysis: Scale and Context of the Sell-Off
While all three assets are facing whale divestment, the scale and context of their respective sell-offs differ significantly.
- Cardano (ADA) is experiencing the most substantial sell-off in pure dollar terms, with nearly $19 million worth of tokens being offloaded by large holders.
- Shiba Inu (SHIB) involves the largest transaction by token volume—3.62 trillion SHIB—but its lower individual token price translates to a smaller dollar value of approximately $355,000.
- Zora (ZORA) presents a different narrative altogether; its sell-off is characterized by a notable percentage drop in whale supply (6.71%) and occurs against a backdrop of recent significant gains, framing it as strategic profit-taking rather than panic selling or loss-cutting.
This comparative view highlights that whale motivations can vary: ADA and SHIB selling aligns with bearish technical breakdowns and prolonged downtrends, whereas ZORA selling is likely a healthy correction after a strong rally.
Strategic Conclusion and Market Outlook
The coordinated sell-off across SHIB, ADA, and ZORA by cryptocurrency whales is a significant event that underscores the current risk-off sentiment in the altcoin market. The data provides a clear snapshot of large investors repositioning their portfolios in response to specific technical triggers and macroeconomic pressures reflected in the shrinking total altcoin market cap.
For market participants, these developments serve as a critical reminder of the influence wielded by large holders and the importance of monitoring on-chain data alongside technical analysis.
- Investors should watch for whether SHIB can break out of its symmetrical triangle and if whale accumulation resumes.
- For ADA, holding the $0.61 support level is crucial to prevent further decline, while a breach of $0.86 resistance is needed to shift sentiment.
- With ZORA, the focus should be on whether the current consolidation represents a healthy pause before another leg up or the beginning of a more significant retracement.
The broader takeaway is that the altcoin market remains in a state of flux. While whale activity provides valuable signals, it represents one piece of a larger puzzle that includes global macroeconomic factors and overarching Bitcoin dominance trends.
Disclaimer: In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Always conduct your own research and consult with a professional before making any financial decisions.