Shiba Inu (SHIB) Futures Open Interest Falls to Six-Month Low as Price Plunges
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Shiba Inu's (SHIB) futures market activity has been on a downward trend, marking a significant decline in open interest since mid-February. This slump coincides with SHIB’s price fall, currently standing at $0.000014. According to Coinglass, SHIB’s futures open interest has dropped to $26 million, a 51% decline over 16 days.
Open interest represents the total number of unsettled futures contracts and a decrease often signals bearish market sentiment. However, SHIB's funding rates, which remain positive, indicate sustained demand for long positions among traders.
Since reaching a peak price of $0.000035 in March, SHIB has been on a downward trajectory. Yet, its positive funding rate implies traders are still optimistic about its future value, expecting price rallies.
SHIB's Relative Strength Index (RSI), currently at 29.03 on a one-day chart, suggests it might be oversold and due for a price correction. However, other indicators, like the Chaikin Money Flow (CMF) at -0.15, point to sustained bearish trends, with more money leaving the asset than entering it.
If the negative trend persists, SHIB's price is projected to fall to $0.000012. Conversely, if market conditions improve and liquidity increases, a rally pushing SHIB to $0.000020 could be possible.
Source: beincrypto.com ↗
