Shiba Inu Futures Open Interest Surpasses 7M SHIB Amid Price Recovery and Whale Selling

As Shiba Inu (SHIB) shows signs of a price recovery, significant whale activity has emerged, with large holders increasing their sales. Despite this, the market's upward trajectory seems to remain the path of least resistance. SHIB, the second-largest meme token by market capitalization, has been trading above the 23.6% Fibonacci retracement level of the May-June downturn, marking a 1% increase over 24 hours, according to CoinDesk data. The token has seen a 5% rise over the past week, supported by bullish signals from key indicators like the 14-day relative strength index (RSI), which has entered bullish territory above 50 for the first time since May 23. Enhanced trading volumes, surpassing the daily average of 307.5 billion tokens during the recovery phase, further bolster the bullish outlook. On the derivatives front, open interest in SHIB perpetual futures on Binance has exceeded 7 million SHIB for the first time since late May, as per Velo data. This increase, coupled with positive funding rates, indicates growing investor confidence in continued price appreciation. However, the potential for further gains may be tempered by whales and insiders transferring trillions of tokens to exchanges, with ten wallets reportedly controlling more than half of SHIB's total supply. Key insights from AI analysis highlight a strong support zone between $0.00001172 and $0.00001175, attracting significant buying interest, while resistance at $0.00001196 has consistently capped upward movements. A notable volume spike of 7.25 billion tokens was observed during a breakout attempt, with the intraday high reaching $0.00001195, a 1% gain from the session's opening. (Disclaimer: Portions of this article were generated using AI tools and meticulously reviewed by our editorial team to ensure accuracy and compliance with our standards. For further details, please refer to CoinDesk's comprehensive AI Policy.)