Shiba Inu's social dominance has been rising since August 16, according to data from Santiment, with the metric currently at 0.016%. This increase in social activity suggests that traders and investors are paying closer attention to the token. However, despite the growing interest, Shiba Inu's open interest has been declining, reaching 30.1 million, down from levels above 34 million earlier.
The aggregated funding rate remains positive, indicating a slight optimism among traders holding long positions. Nevertheless, the combination of positive funding and falling open interest is peculiar, as increased attention typically leads to new positions.
At the time of writing, Shiba Inu's price was near $0.00000446, with an RSI of 46.3, indicating that there is not enough buying happening. The DMI readings were also closely grouped, suggesting that neither buyers nor sellers have a strong advantage.
Market Sentiment
For a bullish case to emerge, traders would need to see the social buzz translate into a rise in open interest and buying. Until then, the increase in social dominance may keep Shiba Inu on traders' radar, but the market will remain cautious.
