Shiba Inu continued its downward trend, falling for the fourth consecutive trading day. On June 5th, it dropped 7.5%, reaching a low of $0.0000048, breaking below the low set in September 2021. However, trading volume did not shrink accordingly; in fact, 24-hour trading volume rose to $146 million, indicating that market competition continues.
Breaking below key support level
From a technical perspective, SHIBOR previously broke below the $0.0000053 support level and further fell below the historical low of $0.0000051, putting continued pressure on its short-term trend. The article cites market observations suggesting that as long as the price fails to regain the $0.0000053 level, the selling pressure will be difficult to alleviate significantly.
Derivatives sentiment shifts to bears
CoinGlass data shows that SHIB's weighted average funding rate for open interest has fallen to -0.0114%, indicating that short sellers are more proactive in the current market and are willing to pay costs to maintain their positions. Liquidation distribution also shows that $0.00000464 and $0.00000512 are currently the two main areas of high leverage concentration.
- The cumulative long leveraged positions around $0.00000464 are approximately $196,000.
- The cumulative short leveraged positions around $0.00000512 amount to approximately $613,000.
This distribution shows that the short positions at the top are larger, indicating that traders as a whole still tend to be bearish.
Major investors have significantly reduced their holdings over the past month.
Data from the on-chain platform Nansen also shows that the net holdings of the top 100 SHIB addresses have decreased by 302% in the past 30 days. This means that some large holders had already begun to withdraw their positions before this significant decline occurred.
Large investors reducing their positions, coupled with short sellers dominating in derivatives, has put greater pressure on SHIB in the short term. If the price continues to remain below key support levels, market risk appetite for the token may weaken further.
