$KAIA latest funding rate -0.541% (settled every 4 hours), short positions pay. Based on this period, the simple annualized rate is about 1183.8%.
Family, what is the funding rate? Let’s make it clear in a few words 👇
Perpetual contracts have no expiration date, and funding rates are used to keep contract prices close to spot prices: long and short sides periodically pay each other a fee.
The rate is generally best viewed together with open interest and price: when the rate is very high and open interest is rising sharply, leverage is often greater.
It is more reliable to cross-check several indicators than to look at just one, but even more indicators still cannot give a definite answer.
#KAIA
This does not constitute any buy or sell advice. Do your own research and take responsibility for the risks.
Family, what is the funding rate? Let’s make it clear in a few words 👇
Perpetual contracts have no expiration date, and funding rates are used to keep contract prices close to spot prices: long and short sides periodically pay each other a fee.
The rate is generally best viewed together with open interest and price: when the rate is very high and open interest is rising sharply, leverage is often greater.
It is more reliable to cross-check several indicators than to look at just one, but even more indicators still cannot give a definite answer.
#KAIA
This does not constitute any buy or sell advice. Do your own research and take responsibility for the risks.