Decline in Shibainu Derivatives Market Activity
The Shibainu (SHIB) derivatives market has recently experienced a decrease in activity, leading to a decline in futures open interest. This drop in interest can be attributed to the decreasing prices of memecoins, with SHIB currently trading at $0.000014 as of the latest update on March 1.
Trader Sentiment Towards Shibainu
Despite the decline in futures open interest, Shibainu traders seem hesitant to bet on the future price movements of the token. According to Coinglass, SHIB’s futures open interest has dropped to $26 million, falling 51% in the past 16 days. This decrease may indicate a lack of confidence among traders regarding SHIB’s future price.
Price Forecast and Market Indicators
The Relative Strength Index (RSI) for SHIB on the 1-day chart suggests a possible price rebound, with an indicator value of 29.03. However, other indicators, such as the Chaikin Fund Flow (CMF), paint a different picture. SHIB’s CMF is currently -0.15, indicating a downward trend and a bearish signal for the market.
In conclusion, while there may be some signs of a potential price rebound based on the RSI indicator, the overall market sentiment, as reflected in the CMF and declining prices, suggests a continuation of the bearish trend for SHIB. Traders should closely monitor key indicators and market trends to make informed decisions regarding their SHIB investments.
If market conditions persist, SHIB’s price may drop to $0.000012, with a potential rebound to $0.000020 if liquidity inflow increases. It is essential for investors to stay informed and adapt their strategies accordingly in this dynamic and volatile market environment.