Prices plummeted and demolitions reached the lowest level in the past six months

Shiba Inu Coin (SHIB) has seen a significant decline in derivatives market activity recently, with its futures open interest falling to its lowest level since February. Currently, SHIB is trading at $0.000014.

SHIB’s futures open interest is $26 million, down 51% since July 19, according to the data. A decrease in futures open interest is often seen as a bearish signal of declining market activity and interest. However, SHIB’s cryptocurrency exchange funding rate remains positive, indicating continued demand for long positions.

SHIB’s price has been in a downward trend since reaching a yearly high of $0.000035 on March 6. Nonetheless, its weighted funding rate remains positive, indicating traders' expectations for a price rebound. The RSI indicator is currently at 29.03, indicating that SHIB may be oversold and has the potential to rebound.

However, other indicators such as funds flow (CMF) showed weakness in the market. At press time, SHIB’s CMF was -0.15, indicating outflows are greater than inflows, reinforcing the bearish trend.

If the current trend continues, SHIB could drop to $0.000012. Conversely, if the market trend reverses and liquidity increases, SHIB could rebound to $0.000020.