- •Shiba Inu saw a 560% surge in Kraken’s SHIB/USD pair trading volume, indicating heightened trader activity despite a market downturn.
- •SHIB's positive funding rate of 0.0018% points to increasing bullish sentiment and long leverage positions among traders.
- •Despite the volume spike, SHIB's price dropped by 1.16% in the last 24 hours, reflecting broader market challenges.
Shiba Inu (SHIB) has experienced a remarkable surge in trading activity, with the SHIB/USD pair on Kraken witnessing a 560% increase in spot trading volume within a single hour. This spike came as part of an overall market slowdown, with most major cryptocurrencies showing negative performance early on Saturday. Kraken recorded $14,690 in hourly trading volume for SHIB, marking a notable uptick amid the broader market's downward trend.
Despite the overall market decline, the surge in Shiba Inu's trading volume may signal a shift in trader sentiment. Notably, SHIB’s funding rate has moved into positive territory at 0.0018%. A positive funding rate typically suggests that more traders are betting on higher prices, which indicates a potential bullish outlook. Additionally, such a move points to the possibility of traders utilizing leverage for long positions, further confirming the optimism surrounding Shiba Inu.
Shiba Inu Price Action Amid Market Decline
However, Shiba Inu’s price has not mirrored the optimism in trading activity. In the last 24 hours, SHIB saw a slight decrease of 1.16%, dropping to $0.0000129. The meme coin's performance over the past week has been worse, with a notable 10.84% drop in value. On Friday, SHIB fell from $0.00001356 to $0.00001279, continuing its decline from the previous week. The coin's value briefly hit a low of $0.00001278 during Saturday’s session before bouncing back slightly. Buyers capitalized on the dip, pushing prices back up to $0.000013.
Although the hourly volume spike on Kraken could indicate renewed interest in Shiba Inu, it is essential to note the broader context. The overall market has been largely down, with many major cryptocurrencies facing price drops. Shiba Inu’s trading volume, however, continues to hover below its previous highs. Over the last 24 hours, its total spot trading volume dropped by 23.35%, falling to $166.92 million, according to CoinMarketCap.
In conclusion, while the positive funding rate and surge in trading volume could point to optimism among traders, Shiba Inu's price still faces downward pressure in the short term. The key challenge will be whether buyers can sustain the upward momentum or if the broader market weakness will continue to weigh on SHIB’s value.