Indicator notes | $KAIA | Funding rate -0.0171% | Shorts pay
First, the definition: Spot trading does not involve funding fees; funding rates apply only to positions in perpetual contracts.
How to read it: When the rate returns to normal, it is usually either because prices have pulled back or because the crowded side has closed positions. To tell which, you need to look at how open interest moves afterward.
The indicator may not be accurate, and risk management is essential: deciding in advance what to do if your judgment is wrong matters more than guessing correctly.
#KAIA
First, the definition: Spot trading does not involve funding fees; funding rates apply only to positions in perpetual contracts.
How to read it: When the rate returns to normal, it is usually either because prices have pulled back or because the crowded side has closed positions. To tell which, you need to look at how open interest moves afterward.
The indicator may not be accurate, and risk management is essential: deciding in advance what to do if your judgment is wrong matters more than guessing correctly.
#KAIA