$BAT Current funding rate: -0.342% (settled every 8 hours); shorts pay.
Folks, what exactly is the funding rate? Here’s a quick explanation👇
When the contract price is higher than the spot index, the rate is usually positive, and longs pay; when it’s lower than spot, the rate is usually negative, and shorts pay.
The rate should generally be considered alongside open interest and price: when the rate is very high and open interest is surging, the market is usually more crowded.
Indicators can fail, so don’t skip your stop-loss: deciding in advance what you’ll do if you’re wrong is more important than guessing correctly.
#BAT
Folks, what exactly is the funding rate? Here’s a quick explanation👇
When the contract price is higher than the spot index, the rate is usually positive, and longs pay; when it’s lower than spot, the rate is usually negative, and shorts pay.
The rate should generally be considered alongside open interest and price: when the rate is very high and open interest is surging, the market is usually more crowded.
Indicators can fail, so don’t skip your stop-loss: deciding in advance what you’ll do if you’re wrong is more important than guessing correctly.
#BAT