$ZEC — one of the most stubborn bulls in this market.
Even after this kind of drop, the funding rate is still at the far positive end. I’m worried for them.
The funding rate is still the most positive. The whole market is deleveraging, yet its perpetual futures funding rate is the most positive among the major coins, which means buyers keep adding to their positions. That’s not confidence; it’s inexperience.
The narrative is running ahead of liquidity. Market capitalization has reached $20 billion, and daily trading volume is several billion. The narrative around privacy coins really was overhyped, but support for this kind of volume is driven by emotion, not cash flow.
The most crowded positions see the steepest drops. Down more than 10% in one day, and 12% to 15% over seven days. The sharpest drops aren’t in coins nobody wants; they’re in the ones where everyone is crowded in on the same side.
At this point, I’m neither going long nor short. Until the funding rate drops to zero, it’s too early to talk about a full washout.
Even after this kind of drop, the funding rate is still at the far positive end. I’m worried for them.
The funding rate is still the most positive. The whole market is deleveraging, yet its perpetual futures funding rate is the most positive among the major coins, which means buyers keep adding to their positions. That’s not confidence; it’s inexperience.
The narrative is running ahead of liquidity. Market capitalization has reached $20 billion, and daily trading volume is several billion. The narrative around privacy coins really was overhyped, but support for this kind of volume is driven by emotion, not cash flow.
The most crowded positions see the steepest drops. Down more than 10% in one day, and 12% to 15% over seven days. The sharpest drops aren’t in coins nobody wants; they’re in the ones where everyone is crowded in on the same side.
At this point, I’m neither going long nor short. Until the funding rate drops to zero, it’s too early to talk about a full washout.