On-chain indicators show 94.49 percent of Shiba Inu (SHIB) circulating supply is concentrated in 707 large wallets.

The blockchain outlet U.Today reported on July 22 that if the whale concentration reflects liquidity leaving exchanges, price rebounds could be larger when large buy orders flow in.

The key is how much supply remains that can be traded immediately. Etherscan whale concentration indicators put major holders’ SHIB at about $2.36 billion. There is also a view that individual investors’ holdings could be less than 2 percent of total supply. If the amount available for immediate trading on exchanges shrinks, the order book becomes thinner and price volatility could increase when big orders come in.

Technical indicators were also cited as supporting a rebound. TradingView charts showed signs that SHIB’s long-term decline is nearing its final stage. In particular, bullish relative strength index (RSI) signals appeared repeatedly near a local bottom, and expectations are spreading in the market that the long-term decline may be entering its closing phase.

The 200-day exponential moving average (EMA) was presented as a short-term target zone. Based on the distance to that resistance line, calculations show 39 percent upside potential from current levels. The area also overlaps with a past high-volume zone where Shiba Inu’s market capitalisation stood between $3.49 billion and $3.54 billion.

A change in market ranking was also mentioned. Shiba Inu currently ranks 31st by market capitalisation on CoinMarketCap at $2.5 billion. If a 39 percent rise materialises, its market capitalisation could climb to about $3.5 billion, allowing it to overtake Tether Gold (XAUT), Cronos (CRO), PayPal USD, Avalanche (AVAX), Sui (SUI), Hedera (HBAR) and Global Dollar to reach 24th place.

The observation, however, is closer to checking possibilities based on on-chain concentration and technical indicators. For a rebound to continue, the focus will be on whether supply locked in whale wallets stays out of the market, whether exchange liquidity keeps shrinking, and whether SHIB can break above the 200-day EMA resistance line.