Shiba Inu (SHIB ($0.00)), one of the most recognizable meme-inspired cryptocurrencies, is navigating a period of price consolidation after experiencing a dramatic surge and collapse in its futures volume. Currently trading at $0.00001642, SHIB has gained 2.47% in the last 24 hours. However, recent market trends indicate that its spike in futures volume stemmed from short-term speculation rather than sustained investor interest.
Shiba Inu Futures Volume Surges and Crashes
On-chain data from Glassnode reveals that SHIB’s futures volume skyrocketed to $2.72 billion between November and December 2024, signaling a wave of heightened market speculation. This sharp increase reflected intense trading activity, but the momentum was short-lived.
As of now, SHIB’s futures volume has plunged to $0.28 billion, marking a 90% decline. This drastic fall suggests that speculative traders, rather than long-term investors, drove the initial surge. The rapid turnover in SHIB’s futures market aligns with a broader pattern across meme coins, where sudden price spikes often give way to steep declines.
Related article: Shiba Inu Price Stagnates as Whale Moves Billions in Tokens
Meme Coin Market Faces Similar Volatility
The sharp fluctuations in SHIB’s futures volume mirror trends seen across other major meme coins, including Dogecoin (DOGE ($0.27)), Dogwifhat (WIF ($0.66)), PEPE ($0.00), and BONK. These tokens all experienced substantial increases in futures trading before witnessing sharp drops.
Dogecoin, the leading meme coin, saw its futures volume soar to $20.0 billion before tumbling 85% to $3.0 billion. WIF attracted significant speculative interest, climbing to $2.87 billion before falling 69% to $0.90 billion.
PEPE followed a similar trajectory, with futures volume dropping from $7.37 billion to $1.59 billion, reflecting a 78% decline. Meanwhile, BONK suffered the most dramatic drop, plummeting 92% from $1.99 billion to just $0.16 billion.
These trends indicate that speculation fueled the rapid expansion of futures volume in the meme coin sector. Traders flocked to these assets seeking quick profits, only to exit just as quickly when momentum faded.
Blue-Chip Cryptos Hold Stronger Ground
A comparison between meme coins and blue-chip cryptocurrencies highlights a stark contrast in market behaviour. While speculative assets like SHIB and DOGE witnessed extreme volatility, Bitcoin (BTC ($98,139.44)) and Ethereum (ETH ($2,714.36)) maintained relatively stable demand despite market pullbacks.
Bitcoin’s futures volume declined from $98.4 billion to $54.4 billion, reflecting a 45% decrease, while Ethereum’s dropped 17%, falling from $43.4 billion to $36.2 billion. Solana (SOL ($203.90)) also experienced a notable drop, with its futures volume shrinking from $14.7 billion to $7.9 billion, marking a 47% decline.
The post Shiba Inu Futures Volume Skyrockets to $2.72 Billion Before Plunging 90%, Exposing Speculative Trading in Meme Coins appeared first on FXcrypto News.
