29% daily drop, yet the funding rate is still positive?
Today UAI is down to 0.4057, with the hourly chart continuing to close in the red—looks like the bears are in control. But here’s the interesting part: the funding rate is 0.0106, meaning longs are still paying shorts, while the position ratio is 43% long vs 57% short.
So what does this mean? Part of the longs are stubbornly refusing to close their positions, preferring to pay the funding rate; meanwhile, a large group of people has already chosen to short. This kind of split often suggests two possibilities: either the shorts are too crowded, making it easy to get trampled during a rebound; or the longs are truly hard-headed and are ready to catch the falling knife.
I generally don’t try to guess the bottom at a point like this—I'll wait until the hourly chart stabilizes first.
$UAI #资金费率背离 #57% short positions
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Today UAI is down to 0.4057, with the hourly chart continuing to close in the red—looks like the bears are in control. But here’s the interesting part: the funding rate is 0.0106, meaning longs are still paying shorts, while the position ratio is 43% long vs 57% short.
So what does this mean? Part of the longs are stubbornly refusing to close their positions, preferring to pay the funding rate; meanwhile, a large group of people has already chosen to short. This kind of split often suggests two possibilities: either the shorts are too crowded, making it easy to get trampled during a rebound; or the longs are truly hard-headed and are ready to catch the falling knife.
I generally don’t try to guess the bottom at a point like this—I'll wait until the hourly chart stabilizes first.
$UAI #资金费率背离 #57% short positions
Click the card below to quickly view the market 👇
