Shiba Inu Founder's Betrayal?...Whales 'Sell' Bomb to Binance Amid Market Fear

▲ Shiba Inu (SHIB)/ChatGPT generated image

Trillions of tokens have moved from a whale wallet believed to belong to the founder of Shiba Inu (SHIB) to a major exchange. Subsequently, fear of a massive sell-off has spread throughout the market, accelerating the exodus of large holders.

According to crypto media outlet U.Today on May 1 (local time), major whales in the Shiba Inu ecosystem have begun emergency responses by consecutively depositing billions of assets into the Binance exchange. This movement began with analyses suggesting that early wallets suspected of being linked to Ryoshi, the mysterious founder of Shiba Inu, have resumed activity. In particular, the so-called "Ryoshi dump" theory, which suggests Ryoshi might suddenly unload the enormous amount of assets he accumulated in the past, is spreading and rapidly dampening investor sentiment.

On-chain analysis confirmed that recent inflows of Shiba Inu to Binance were in the billions of SHIB, interpreted as a risk management move rather than simple profit-taking. A specific whale belonging to the early investor group recently sold 800 billion SHIB, realizing a profit of approximately $4.9 million. This large-scale selling pressure is significantly burdening the Shiba Inu price in defending key support levels and is also inducing a chain reaction of panic selling among individual investors.

The Shiba Inu price has been on a sluggish trend, dropping 11.43% compared to early 2026, making it even more sensitive to news of whale deposits to exchanges. Technical indicators show the Relative Strength Index (RSI) below neutral, indicating a lack of buying pressure, while the Moving Average Convergence Divergence (MACD) also suggests strengthening bearish momentum. With whales holding over 60% of the total circulating supply, there are warnings that even their small movements could trigger a liquidity crisis for the entire market.

The detection of wallets believed to be Ryoshi's accounts distributing assets to multiple addresses to avoid tracking also fuels market skepticism. Some analysts diagnose that such asset fragmentation could be a prelude to evading regulatory surveillance or preparing for a large-scale sell-off. The Shiba Inu development team emphasizes Shibaburn activities and the performance of its layer-2 network, Shibarium, for ecosystem expansion, but it seems insufficient to quell fears of the founder's asset dump.

Despite the overall recovery trend in the virtual asset market, Shiba Inu's independent decline indicates a wavering trust among large holders. The future movements of wallets linked to Ryoshi are considered the most critical variable determining Shiba Inu's long-term survival. Whether the billions of SHIB that flowed into exchanges in May will actually be converted into sales is expected to be a key indicator in determining the bottom of the Shiba Inu price.

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