I just glanced at the data—there’s definitely something going on.
$CVC funding rate is -1.02%. The level of crowding on the short side is pretty ridiculous. In normal perpetual contracts, funding rate fluctuations of even 0.01% are considered active; this one directly hits -1%, which either means something happened in the spot market that I didn’t notice, or the bears are adding to their positions in a self-rescue kind of move. I previously went long around 0.028, but now I’ve started reducing—don’t dare hold for too long.
STEEM, ONE, and WAXP are all showing negative funding rates, and all are below -0.4. These smaller coins have a common trait—weak spot liquidity, and even worse contract market depth. Once some funds want to go long and push the price up, short liquidation cascades can drive the coin price into an exaggerated move. I’ve been burned by this before when I traded AGPU. I held negative funding for three days; on the fourth day I woke up to find it pumped 20%—I didn’t even have time to place a stop-loss.
$BTC funding rate at 0.0026% is more normal. Bulls have a slight edge, but it’s not crowded. The overall market is consolidating around 84,000 with low volume today; the intraday trading range is only about 2,000 points. The main thing you fear in this kind of sideways chop is a sudden surge in volume. I’ve set my short stop-loss at 85,000—if it breaks above, I’m done.
For CVC, if the bears keep hammering it this round, it’s very likely the main player is collecting liquidity/accumulating positions. Can the bulls still hold up?
#Write2Earn #Crypto
⚠️ Personal opinion only; not investment advice.
$CVC funding rate is -1.02%. The level of crowding on the short side is pretty ridiculous. In normal perpetual contracts, funding rate fluctuations of even 0.01% are considered active; this one directly hits -1%, which either means something happened in the spot market that I didn’t notice, or the bears are adding to their positions in a self-rescue kind of move. I previously went long around 0.028, but now I’ve started reducing—don’t dare hold for too long.
STEEM, ONE, and WAXP are all showing negative funding rates, and all are below -0.4. These smaller coins have a common trait—weak spot liquidity, and even worse contract market depth. Once some funds want to go long and push the price up, short liquidation cascades can drive the coin price into an exaggerated move. I’ve been burned by this before when I traded AGPU. I held negative funding for three days; on the fourth day I woke up to find it pumped 20%—I didn’t even have time to place a stop-loss.
$BTC funding rate at 0.0026% is more normal. Bulls have a slight edge, but it’s not crowded. The overall market is consolidating around 84,000 with low volume today; the intraday trading range is only about 2,000 points. The main thing you fear in this kind of sideways chop is a sudden surge in volume. I’ve set my short stop-loss at 85,000—if it breaks above, I’m done.
For CVC, if the bears keep hammering it this round, it’s very likely the main player is collecting liquidity/accumulating positions. Can the bulls still hold up?
#Write2Earn #Crypto
⚠️ Personal opinion only; not investment advice.