On September 28, according to Coinglass data, as Bitcoin weakened again, the current funding rates of major CEXs and DEXs indicate that the market’s bearish sentiment has significantly intensified. The specific funding rates are shown in the accompanying image.
BlockBeats Note: Funding rate is a fee set by cryptocurrency trading platforms to maintain a balance between the contract price and the underlying asset price, and it is typically applicable to perpetual contracts. It is a mechanism for exchanging funds between long and short traders. The trading platform does not collect this fee; instead, it is used to adjust traders’ holding costs or profits so that the contract price stays close to the underlying asset price.
When the funding rate is 0.01%, it represents the benchmark funding rate. When the funding rate is greater than 0.01%, it generally indicates that the market is bullish. When the funding rate is less than 0.005%, it generally indicates that the market is bearish.
BlockBeats Note: Funding rate is a fee set by cryptocurrency trading platforms to maintain a balance between the contract price and the underlying asset price, and it is typically applicable to perpetual contracts. It is a mechanism for exchanging funds between long and short traders. The trading platform does not collect this fee; instead, it is used to adjust traders’ holding costs or profits so that the contract price stays close to the underlying asset price.
When the funding rate is 0.01%, it represents the benchmark funding rate. When the funding rate is greater than 0.01%, it generally indicates that the market is bullish. When the funding rate is less than 0.005%, it generally indicates that the market is bearish.
