Shiba Inu: SHIB Traders feel the heat despite listing predictions
Shiba Inu [SHIB] was one of the hardest-hit tokens as the crypto market dropped to a market cap of $920 billion. According to CoinMarketCap, the 15th-ranked meme is down 5.37% over the past 24 hours despite news of a listing on BitMEX.
BitMEX, a crypto derivatives exchange based in Seychelles, in the early hours of October 10, announced SHIB as part of the new assets to be listed. The exchange revealed that SHIB, along with Decentraland [MANA], Sandbox [SAND] and two others, are part of their plan.
However, developments around the price have led to a deeper drop rather than a much-anticipated rally. Also, SHIB is not the only one feeling the negative results from the market's speculation.
SHIB for price prediction for 2023-2024
Oh merchants, they took the wrong turn
Coinglass, the derivatives portal, reported that approximately $1.63 million SHIB was liquidated in the last 24 hours. In particular, many SHIB investors seem to have anticipated a rally. This was evident when Coinglass revealed that a large number of the liquidations came from longtime traders.
At press time, short traders felt only a fraction of the drop.
On top of that, it looks like SHIB investors aren't getting out of their losses anytime soon. This is due to indicators of the Market Value to Actual Value (MVRV) ratio. Based on Santiment data, the MVRV SHIB rate is -7.89%. On October 3, the MVRV ratio appeared to be on the way to recovery.
However, he couldn't stand the pressure of stepping back a day later. As a result, it seems that fewer investors are willing to sell their holdings, as there is less chance of making a potential profit. Furthermore, the current payout ratio indicates a higher investment potential.
On the other hand, SHIB volume has increased by more than 100% since Oct. 10. However, this rally failed to trigger a bull run and could be considered a late bull run. In cases like these, investors may have decided that a short-term bottom has been reached.
Other series of events
In addition, some SHIB investors who already have assets on the exchange are likely to abandon their positions. The outflow of a foreign currency shows this, as it reached 147,930 million in the early hours of October 11. Despite the spike, there still seems to be some calm on the way out.
At press time, Santiment revealed that the foreign exchange outflow was 20.87 billion. Interestingly, it seems that SHIB investors do not go back to accumulating on exchanges, because the cash flow into the exchange is approximately 4 times the outflow of 89.65 billion. At this rate, there could have been one more sell signal for the coin meme.
Oct 12, 2022