Just saw this: $WAL ’s latest funding rate is -0.262% (settled every 4 hours), with shorts paying.
People often ask how to interpret funding rates. Here’s how I understand them.
Funding fees are calculated based on the position’s notional value × the rate: for a position with a notional value of 10,000 U, a rate of 0.01% means a fee of 1 U per funding interval.
Rates for less liquid coins often fluctuate more. A very high rate for one interval doesn’t necessarily indicate a trend; extreme rates are much rarer for major coins.
Leave enough room when using leverage, so one sudden wick doesn’t liquidate your position.
#WAL
People often ask how to interpret funding rates. Here’s how I understand them.
Funding fees are calculated based on the position’s notional value × the rate: for a position with a notional value of 10,000 U, a rate of 0.01% means a fee of 1 U per funding interval.
Rates for less liquid coins often fluctuate more. A very high rate for one interval doesn’t necessarily indicate a trend; extreme rates are much rarer for major coins.
Leave enough room when using leverage, so one sudden wick doesn’t liquidate your position.
#WAL