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Shiba Inu is seeing increased derivative interest among traders at a rate much higher than major crypto assets like Bitcoin and $XRP.
The meme coin’s open interest (OI) has surged substantially in the past 24 hours, coinciding with a price increase. Shiba Inu ($SHIB) has appreciated by 3%, joining a broader market recovery push after months of corrective price action.
Key Points
- Shiba Inu is outpacing Bitcoin and $XRP in the rate at which traders are opening futures contracts in the derivative market.
- The $SHIB OI has surged 13.45% in the past 24 hours to $69.79 million, outpacing Bitcoin’s 5% and $XRP’s 1.28% increase.
- Trading volume also spiked considerably in the past 24 hours, rising 14.5% to $101.1 million.
- In the meantime, $SHIB has established support around the 50-day simple moving average at $0.00000589, opening the avenue for further growth.
Shiba Inu OI Growth Outpaces Bitcoin’s and $XRP’s
Market data confirms that $SHIB is outpacing Bitcoin and $XRP in the rate at which traders are opening futures contracts in the derivative market. Specifically, the $SHIB OI has surged 13.45% in the past 24 hours to $69.79 million, culminating in an 11 trillion $SHIB bet.
The spike highlights how traders are suddenly becoming interested in $SHIB, as its price starts to move. With its nearly 2% rise since today, the token is on course for its third consecutive daily increase, a move that market speculators are increasingly looking to leverage.
While Bitcoin and $XRP have open interest running into billions of dollars, their growth in the past day is meager compared to $SHIB’s. For context, the Bitcoin OI has increased by only 5% during this period to $59.6 billion, while $XRP’s has increased by a milder 1.28% to $2.64 billion.
The move suggests a concentrated bet on lower-cap altcoins as capital begins to rotate. Market traders see them as a beta play, since they tend to move more sharply during sustained bullish price action.
Meanwhile, futures flow reflected this growing derivatives market appetite for exposure to $SHIB. Inflows in the past 24 hours stood at $8.31 million, outpacing outflows at $8.02 million by over $284,980. This culminates in new positions worth 46 billion $SHIB.
Increased Market Activity
Trading volume also spiked considerably in the past 24 hours, with OI and prices. Per CoinMarketCap, there was a 14.5% rise in $SHIB market activity, reaching $101.1 million.
Coinglass data further broke down the volume heatmap. $SHIB futures volume grew by 98% to $208 million, while spot volume appreciated by 94% to $19.37 million. However, there is a catch.
Spot taker buy volume accounts for 51.68% of the total volume, suggesting a slightly bullish bias. In contrast, the futures volume shows a strong bearish bias, with taker sell at 69% and taker buy at 30.9%. This suggests heavy short bets entering the futures market.
Shiba Inu Technical Analysis
In the meantime, $SHIB has established support around the 50-day simple moving average at $0.00000589. After breaking above on April 15, it retested the dynamic indicator on Sunday but closed above it.
This move alongside the broader market momentum ensured it rebounded from the MA and has since targeted higher prices. With an RSI of 55, $SHIB could still target higher prices if the current momentum sustains.
The MACD indicator has also turned green, suggesting that bullish momentum is slowly creeping into the market. The MACD line at 0.00000005 has also crossed above the signal line at 0.00000003, reinforcing the shift in momentum.
$SHIB could now target an over 100% rally to reclaim above the $0.0000010 psychological level. Recent analysis confirmed this, citing a channel breakout and a concluding retest on the daily chart.