$KORU is up 11% in the past 24 hours, but the funding rate is zero. The stock price is moving, yet neither longs nor shorts are paying. Interesting.
This is a single-signal call: a zero funding rate alongside a rising stock price usually means new money is driving the move. Existing shorts have either already covered at a loss or were never positioned in the first place. Longs aren’t crowded enough to pay funding, and shorts aren’t panicking enough to pay either. Price has risen, but leveraged sentiment hasn’t caught up.
The strongest counterargument: if this move is driven by a political or military event and is a shift into safe-haven assets, the zero funding rate may only be temporary. Once the event continues to unfold, arbitrage capital and trend followers could quickly pile in, turn funding positive, and push open interest higher at the same time.
The second-order impact is simple: open interest is now 2.23 million contracts, with volume at 460 million. If over the next 24 hours funding starts to turn positive, or if open interest keeps building without price and continues to move up, that would mean the real battle has begun. At this funding level, there isn’t enough fuel for a short squeeze rally.
My move: wait. If tomorrow at the same time funding is still 0, or turns negative, I’ll give up on chasing longs. If funding turns positive above 0.01%, I’ll place a long order at 23.0, stop loss at 22.4, with a 10% position. If it breaks 23.5, I’ll look for 24.2. If price rises but funding doesn’t move, I won’t move either.
Trading tag: #TradFi #链上美股 #KORU
Where do you think this judgment is most likely to be wrong?
This is a single-signal call: a zero funding rate alongside a rising stock price usually means new money is driving the move. Existing shorts have either already covered at a loss or were never positioned in the first place. Longs aren’t crowded enough to pay funding, and shorts aren’t panicking enough to pay either. Price has risen, but leveraged sentiment hasn’t caught up.
The strongest counterargument: if this move is driven by a political or military event and is a shift into safe-haven assets, the zero funding rate may only be temporary. Once the event continues to unfold, arbitrage capital and trend followers could quickly pile in, turn funding positive, and push open interest higher at the same time.
The second-order impact is simple: open interest is now 2.23 million contracts, with volume at 460 million. If over the next 24 hours funding starts to turn positive, or if open interest keeps building without price and continues to move up, that would mean the real battle has begun. At this funding level, there isn’t enough fuel for a short squeeze rally.
My move: wait. If tomorrow at the same time funding is still 0, or turns negative, I’ll give up on chasing longs. If funding turns positive above 0.01%, I’ll place a long order at 23.0, stop loss at 22.4, with a 10% position. If it breaks 23.5, I’ll look for 24.2. If price rises but funding doesn’t move, I won’t move either.
Trading tag: #TradFi #链上美股 #KORU
Where do you think this judgment is most likely to be wrong?