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Shiba Inu (SHIB) price has consolidated above the $0.000025 support level on April 26, after the team’s $12 million fundraise had triggered a $0.000029 retest at the start of the week.
SHIB Price is up 41% Within the Weekly Timeframe
Shiba Inu price soared 53% rally between April 19 and April 22, reaching a weekly timeframe peak of $0.000029 after the team’s $12 million fund raise announcement got the world’s largest memecoin project off to a positive start.
SHIB has since retraced 10% towards the $0.000025 support territory, cutting its weekly gains to 41% at the time of writing on April 26. But interesting, recent trends observed in the derivatives markets suggest that bulls are still on the prowl for more gains.
Speculative Traders Have Mounted New SHIB Futures Contracts Worth $23 Million
Looking beyond the Shiba Inu’s 10% price correction in the last 3-days , the broader memecoin markets have been on a tear this week. Indicatively, the likes of BONK and DOGE have recorded double-digit gains during that period.
In a bid to front-run SHIB’s next recovery phase, speculative traders have been mounting new futures contracts at a disproportionate rate compared to the price trend.
Coinglass’ Open Interest metric tracks the total value of active futures contracts for a specific crypto asset.
At the start of week, SHIB open interest stood at $51.75 million. The latest data shows SHIB open interest has increased by $23 million since April 19, to hit $75.1 million mark at the time of writing on April 26.
Notably, this marks a growth of 45% in Shiba Inu open interest, within the weekly timeframe outpacing the current SHIB price growth of 41%.
When Open Interest outpaces price growth, it signals an overwhelming bullish sentiment among speculative traders.
Firstly, an increase in open interest suggests growing participation and interest from market participants, indicating confidence in the asset’s future price potential. This influx of new positions can lead to increased liquidity and trading activity, further supporting upward price momentum.
Secondly, when open interest grows faster than price, it may indicate that traders are accumulating long positions or hedging strategies, anticipating future price appreciation.
Hence, this $23 million growth in SHIB open interest could a preccussor to another leg-up towards $0.000030 price milestone in the near term.
SHIB Price Retraces after 54% Gains
Shiba Inu price price soared 54% rally between April 19 and April 22, reaching a weekly timeframe peak of $0.000029 after the team’s $12 million fund raise announcement got the world’s largest memecoin project off to a positive start.
SHIB has since retraced 10% towards the $0.000025 support territory at the time of writing on April 26. But interesting, recent trends observed in the derivatives markets suggest that bulls are still on the prowl for more gains.
Speculative Traders Have Mounted New SHIB Futures Contracts Worth $23 Million
Looking beyond the Shiba Inu’s 10% price correction in the last 3-days , the broader memecoin markets have been on a tear this week. Indicatively, the likes of PEPE and DOGE have recorded double-digit gains during that period.
In a bid to front-run SHIB’s next recovery phase, speculative traders have been mounting new futures contracts at a disproportionate rate compared to the price trend.
Coinglass’ Open Interest metric tracks the total value of active futures contracts for a specific crypto asset.
At the start of week, SHIB open interest stood at $51.75 million. The latest data shows SHIB open interest has increased by $23 million since April 19, to hit $75.1 million mark at the time of writing on April 26.
Notably, this marks a growth of 45% in Shiba Inu open interest, within the weekly timeframe outpacing the current SHIB price growth of 40%.
When Open Interest outpaces price growth, it signals an overwhelming bullish sentiment among speculative traders.
Firstly, an increase in open interest suggests growing participation and interest from market participants, indicating confidence in the asset’s future price potential. This influx of new positions can lead to increased liquidity and trading activity, further supporting upward price momentum.
Secondly, when open interest grows faster than price, it may indicate that traders are accumulating long positions or hedging strategies, anticipating future price appreciation.
Hence, this $23 million growth in SHIB open interest could a preccussor to another leg-up towards $0.000030 price milestone in the near term.