Shiba Inu's open interest has reached $96 million as of 7 June, approaching its March 2024 high
This surge is similar to the open interest increase in March 2024, which also happened around the time of Bitcoin's all-time high.
The rise in open interest is indicative of a return in Shiba Inu investor interest after a low in April.
Analysis shows an incoming price surge for Shiba Inu based on the correlation between its price and open interest.
Based on historical data, Shiba Inu's price could rise by 70% to reach $0.0000456 if open interest reaches this yearly high.
The meme coin market is getting back into action as of late, considering Shiba Inu’s recent explosion in price from last week, and in Open Interest now.
This rise in open interest in Dogecoin's sister cryptocurrency is now similar to what we saw in March 2024, the same in which Bitcoin hit its current all-time high.
As it stands, Shiba Inu’s price action is a source of excitement to investors, and we would like to figure something out:
Is this the ultimate indicator of an incoming Shiba Inu boom?
At the time of writing, Shiba Inu’s open interest has rallied to the $96 million mark across several exchanges, marking another approach of its yearly peak.
This is massive because, for the first time since nearly hitting $136 million in March during Bitcoin's rally to its new all-time high, the memecoin's open interest crashed hard, hitting a bottom of $50 million by late April.
The recovery of Shiba Inu's open interest
However, soon after April ended, this metric has been rallying upwards ever since and now sits at a staggering 3.79 trillion SHIB, or around $96 million.
Increasing open interest in SHIB
This shows an almost 100% rebound between April and now and indicates that investor interest is returning.
Moreover, this current Open Interest level in SHIB is a mere 60% from the March 2024 high, which might turn out to be a piece of cake, considering the ongoing momentum.
However, one still has to wonder: If SHIB rallies to this previous high—or even breaks above, what might happen to its price?
Shiba Inu’s open interest has always had a direct correlation with its price.
For example, the Shiba Inu open interest peak on 6 March coincided with a staggering 400% price increase in the memecoin, starting with a price of $0.0000096 on 24 February, and ending on 6 March as shown below:
Shiba Inu’s open interest correlation
According to the charts, Shiba Inu has been attempting a comeback ever since, which is also echoed by its open interest.
Here’s another interesting fact:
Considering how the current open interest is about 60% from its February high, the price of Shiba Inu is also about 70% from the February high.
This shows a great deal of correlation between Shiba Inu and its open interest and indicates that we might be seeing a strong and powerful resurgence anytime soon.
If the trend repeats and the memecoin; 's open interest revisits its $136 million all-time high, SHIB’s price could surge again to $0.0000456 like it did in February, setting a new yearly record.
Shiba Inu’s price action
At the time of writing, Shiba Inu is trading on top of an ascending trendline and is doing a solid job at staying above so far.
The chances of a Shiba Inu rebound from here seem solid and could lead the cryptocurrency up by 70% in the next few weeks.
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