In a dramatic turnaround, Shiba Inu (SHIB) experienced a notable surge in the past day, riding the wave of a widespread recovery across cryptocurrency markets. This upswing proved challenging for traders holding bearish positions, leading to what has been one of the largest liquidations of short positions since 2021.
What Fueled the Recent Price Jump?
The token was trading at $0.00000495 around the time of reporting, rebounding from a low of $0.00000443. While earlier in the day, SHIB had peaked at $0.00000502 before experiencing a mild pullback. Over the past week, SHIB has appreciated approximately 10%, benefiting from the overall market uptrend. Contributing factors include the anticipation of regulatory momentum in Washington and indicators of increased liquidity in the U.S. Treasury market.
The U.S. Senate is expected to make progress on the Clarity bill in September, with a procedural vote planned for September 15.
Is Regulatory Clarity on the Horizon?
Addressing the SALT conference, Senate Banking Committee Chair Tim Scott expressed optimism regarding the Clarity bill’s advancement in September. Designed to offer a clearer framework for the crypto market, this bill could reshape the regulatory landscape. Tim Scott is a pivotal figure in shaping the Senate’s banking agenda.
Strengthening calls for market structure legislation after a critical meeting between the White House and crypto sector leaders have also contributed to enhancing risk appetite.
UEX US Lists SHIB Trading Pairs
An important development for Shiba Inu was its inclusion on the UEX US exchange, which launched SHIB/USDT trading pairs. The platform has also introduced a reward program offering a 4.5% annual yield, SHIB-collateralized loan options, and the ability to purchase SHIB via PayPal, bank transfers, and card payments.
This move expands SHIB’s accessibility beyond trading, increasing its presence in storage and usage domains. As SHIB price recovery becomes evident, the array of trading options further elevates its visibility.
The Largest Short Position Liquidation Since 2021
According to CoinGlass data, total liquidations hit $3.38 billion, impacting 192,002 traders, with $3.1 billion originating from short positions. Notably, this marks the largest forced closure of short positions since 2021.
Long position liquidations were significantly lower at $275.45 million, underscoring that the rally primarily targeted traders betting on price drops.
- Total liquidations reached $3.38 billion, affecting 192,002 traders.
- Short position liquidations accounted for $3.1 billion, a historic peak since 2021.
- Long position liquidations were relatively minor at $275.45 million.
On comparison, the sudden market crash on October 10, 2025, saw liquidations exceeding $19 billion in a single day, with short position liquidations at $2.47 billion. Although the latest figures are behind that day in total liquidations, they surpass it in terms of short positions specifically.
