According to a report by CoinDesk, the cryptocurrency market is accumulating excessive speculative behavior. The open interest of Shiba Inu Coin ($SHIB) futures contracts has surpassed $100 million for the first time since August 2023, indicating the presence of a speculative bubble in the market. Despite this, the founder of 10X Research remains optimistic about Bitcoin’s continued rise this week, believing that the inflow of funds into spot ETFs will pick up.
Data from CoinMarketCap shows that the market value of Shiba Inu Coin has surged from around $5.6 billion to $15.8 billion in the past seven days, with a growth rate of approximately 170%. The increase in open interest and market value represents the influx of new funds into this meme coin. However, this may be a sign of excessive speculation and an impending market correction.
According to data tracked by 10X Research, whenever the open interest of SHIB futures contracts exceeds $100 million, it usually indicates a milestone high for the Bitcoin price.
In addition, according to data tracked by 10X Research, the daily trading volume in South Korea has recently reached or approached $8 billion, significantly higher than the $1 billion observed daily before the Bitcoin bull market erupted. Markus Thielen, the founder of 10X Research, commented, “There has been a wave of retail activity from altcoins to meme coins.”
It is expected that there will be a rebound in the inflow of funds into spot ETFs, and Bitcoin is expected to continue its rise. Thielen added that due to the significant inflow of funds into US Bitcoin spot ETFs exceeding the daily output of Bitcoin, the supply-demand imbalance ratio has increased to 1:10, which could lead to Bitcoin reaching a new all-time high this week, surpassing $69,000.
Thielen pointed out that over the weekend, there was an accelerated outflow of funds from Grayscale’s Bitcoin spot ETF (GBTC), with a loss of $600 million last Thursday, marking the largest single-day redemption in over a month. At the same time, data from 10X Research showed that BlackRock’s IBIT had a net inflow of $500-600 million for three consecutive days, but dropped to $202 million last Friday.
However, Thielen believes that this slowdown is only a temporary phenomenon at the end of the month, and strong inflows of funds may resume this week. He stated,
