Shiba Inu price stagnates as futures open interest drops

Shiba Inu Retreats Amidst Bitcoin Decline

Shiba Inu (SHIB) experienced a pullback after its recent rally lost momentum, with the price dropping from a high of $0.000014 on August 9th to $0.000032.

This decline coincided with Bitcoin's (BTC) drop from an intraday high of $62,000 to below $60,000.

Analysis of trading volume data indicates a lack of strong demand for SHIB in recent days. Its 24-hour spot market volume of $321 million is relatively low for a cryptocurrency with a market capitalization of $8.2 billion.

In comparison, other meme coins such as Floki (FLOKI), Pepe (PEPE), and Dogwifhat (WIF) have exhibited stronger trading volume, with 24-hour volumes of $320 million, $1.7 billion, and $1 billion, respectively.

The futures market also reflects this trend. According to CoinGlass, Shiba Inu's open interest declined significantly on August 9th to $22 million, down from $53 million in July.

OKX holds the majority of Shiba Inu's futures open interest, while other major exchanges like Binance, Bybit, and Deribit do not report their open interest for SHIB.

Interest in SHIB among traders has waned in recent months, with many transitioning to newer meme coins. This has contributed to a price drop of approximately 70% from its March high and 85% from its all-time high.

Other aspects of the Shiba Inu ecosystem have also faced challenges. Shibarium, the layer-2 network, has received only $1.2 million in assets, and the total value locked in Shibaswap has dwindled to $17.45 million.

Despite these setbacks, there are indications that SHIB may be forming a falling wedge pattern on the weekly chart, suggesting the potential for a bullish breakout later in the year.