Shiba Inu (SHIB) continues to experience trading below all significant moving averages on daily charts, highlighting the absence of a robust recovery signal in the market. Despite a slowdown in the price’s downward movement recently, the overall technical structure still indicates a dominant bearish trend. Sellers maintain their control over longer time frames, while unusual data from the futures market leaves investors puzzled.
SHIB’s Downward Momentum
In comparison to the recent wave of selling, SHIB is experiencing a more controlled pullback. The lack of sharp declines, as seen previously, suggests reduced volatility and a quest for market equilibrium. The RSI indicator’s proximity to the lower bands further corroborates this scenario. However, this does not necessarily indicate a recovery phase but rather a transitional period where the price attempts stabilization.
Investor psychology plays a crucial role at this juncture. The prolonged bearish trend has led buyers to exercise caution, resulting in a predominance of short-term transactions. Particularly in leveraged positions, decreased risk appetite paves the way for movement within a horizontal-low band.
Noteworthy “Negative” Data in Futures
A striking anomaly in SHIB futures, revealing a -131.522% imbalance in a 15-minute time frame, seems mathematically inconceivable, as -100% would theoretically denote complete nullification. Here, the metric captures net flow change calculated from a minimal baseline. This exaggeration stems from previous nearly zero net inflows being overtaken by short-term significant outflows.
This data doesn’t imply SHIB futures have plummeted by hundreds of percentage points but that position shifts have been abrupt. Likely, the liquidation or rapid closing of leveraged long positions created this image. Generally declining open interest reflects not new leverage influx but a clean-up of existing risk, indicating a retreat of short-term traders and a lack of strong long-term capital engagement.
Parallel developments in the crypto market are observable on the Dogecoin 
$0.13599 (DOGE) front, where a decrease in open positions and retreat of short-term speculative trades have been noted recently. This points to a generalized risk aversion trend within the meme coin group.
Additionally, the recent surge and subsequent sharp pullback in trading volume for Pepe (PEPE) highlights how swiftly leveraged trades can reverse in such assets. Similarly, short-term investors have withdrawn from PEPE, with prices trending sideways for a period.
