$AXTI Over the past 24 hours, it’s up 14.19%, but the funding rate is stuck at zero. Old dog took a glance—this kind of situation where the price is being pushed up but the funding rate doesn’t move much is uncommon. Usually it means the rally hasn’t triggered a large wave of leveraged long chasing.
On Binance Futures, a zero funding rate means neither longs nor shorts have to pay the other right now, and the market’s long/short forces are temporarily balanced. The uptrend isn’t driven by liquidations from funding squeezes pushing shorts out; it’s more likely driven by real buy orders from spot or hedging trades. Trading volume is 31.1 million, and open interest is at about 110,000. Without new data for comparison, I can’t tell whether positions are increasing or decreasing, but at least the funding rate tells me the longs haven’t crowded to the point where they’d get penalized.
I think the foundation of this upswing is more solid than one propped up by a funding squeeze. The risk of longs crowding is temporarily low. My own plan is to follow with a light position: if the price breaks below the current level of 79.25, and if the funding rate turns negative, I’ll exit. The invalidation conditions are very clear: if the price goes sideways but the funding rate quickly turns positive, that would mean longs are starting to lever up, and adjustment pressure will come immediately—I’ll leave early.
Trading tag: #BinanceFutures #TradFi #USDⓈM #AXTI #AXTIUSDT $AXTI
On Binance Futures, a zero funding rate means neither longs nor shorts have to pay the other right now, and the market’s long/short forces are temporarily balanced. The uptrend isn’t driven by liquidations from funding squeezes pushing shorts out; it’s more likely driven by real buy orders from spot or hedging trades. Trading volume is 31.1 million, and open interest is at about 110,000. Without new data for comparison, I can’t tell whether positions are increasing or decreasing, but at least the funding rate tells me the longs haven’t crowded to the point where they’d get penalized.
I think the foundation of this upswing is more solid than one propped up by a funding squeeze. The risk of longs crowding is temporarily low. My own plan is to follow with a light position: if the price breaks below the current level of 79.25, and if the funding rate turns negative, I’ll exit. The invalidation conditions are very clear: if the price goes sideways but the funding rate quickly turns positive, that would mean longs are starting to lever up, and adjustment pressure will come immediately—I’ll leave early.
Trading tag: #BinanceFutures #TradFi #USDⓈM #AXTI #AXTIUSDT $AXTI