Bullish: Shiba Inu Soars to New Heights with Upcoming Perpetual Futures Listing by Crypto ETF Custodian

May 24, 2024
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Shiba Inu (SHIB), the popular meme-based cryptocurrency, is set to gain significant market traction as a renowned crypto ETF custodian announced its latest perpetual futures listing.

This latest move by , Coinbase, which includes support for SHIB along with other crypto assets, is anticipated to boost SHIB’s visibility and trading volume.

Milestone Announcement

In a celebratory X post on Thursday, Coinbase, one of the world’s largest cryptocurrency exchange platforms by trading volume, marked its 50th perpetual futures listing. The announcement stated, “Celebrating our 50th perpetual futures listing with man’s best friend, the dog. We are adding support for $FLOKI, $BONK, & $SHIB perpetual futures on Coinbase Advanced. The opening of 1000FLOKI-PERP, 1000BONK-PERP, & 1000SHIB-PERP markets will begin on or after 9:30 a.m. UTC 30 MAY.”

Boosting Market Visibility and Credibility

The listing of Shiba Inu perpetual futures on Coinbase is expected to have several positive impacts on the cryptocurrency. Firstly, it significantly increases SHIB’s market visibility. Being featured on a prominent platform like Coinbase, especially for perpetual futures, draws attention from a broader audience, including both institutional and retail investors, thereby enhancing SHIB’s credibility and legitimacy.

Enhanced Liquidity and Market Depth

Enhanced liquidity is another key benefit. Perpetual futures often attract high trading volumes, contributing to increased liquidity for SHIB. This increased liquidity makes it easier for traders to execute large transactions without significantly impacting the price and adds market depth, leading to more stable prices and reduced volatility

Additionally, the futures market can attract new investors who are interested in derivative trading and leveraging their positions. This diversification of the investor base provides existing investors with tools to hedge their positions, effectively managing risk.

Facilitating Better Price Discovery

The introduction of perpetual futures also facilitates better price discovery. The futures market reflects collective market expectations about SHIB’s future price movements, contributing to a more efficient market. 

This can mitigate the impact of speculative trading on the spot market, resulting in more stable price dynamics. Furthermore, the availability of leverage in perpetual futures can amplify potential returns, attracting more active trading and investment in SHIB, while also allowing sophisticated traders to manage and mitigate risks associated with their spot market holdings.

Signifying Market Maturity

Moreover, the listing signifies the maturing of the SHIB market, indicating it has achieved a level of acceptance and stability required for derivative trading. This can lead to wider adoption and integration into more trading platforms and products. Lastly, being included in advanced trading products like perpetual futures helps SHIB remain relevant and competitive in the rapidly evolving cryptocurrency market. The excitement and potential profitability associated with futures trading can also attract new members to the SHIB community, fostering growth and engagement.

The listing of SHIB perpetual futures on Coinbase is poised to boost its visibility, liquidity, and market participation, providing new opportunities for investors to engage with the cryptocurrency in a more dynamic and strategic manner. As SHIB continues to gain traction, this move could mark a significant milestone in its journey toward greater market integration and investor acceptance.

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Yona has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Daily is an official media and publication of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.

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