🐋 $BR Latest funding rate: -0.371% (settled every 4 hours); shorts pay.
Funding rates often reflect first which side is becoming crowded.
Spot trading has no funding fees; funding rates apply only to perpetual contract positions.
A sharply negative funding rate sometimes occurs when too many traders are short. The commonly cited risk is that short sellers may be forced to cover, pushing prices higher—but that’s only one possible scenario.
Don’t let a single number throw off your original plan, and don’t use borrowed money to test a hunch.
#BR
Just my personal perspective; I may be wrong, so take this with caution.
Funding rates often reflect first which side is becoming crowded.
Spot trading has no funding fees; funding rates apply only to perpetual contract positions.
A sharply negative funding rate sometimes occurs when too many traders are short. The commonly cited risk is that short sellers may be forced to cover, pushing prices higher—but that’s only one possible scenario.
Don’t let a single number throw off your original plan, and don’t use borrowed money to test a hunch.
#BR
Just my personal perspective; I may be wrong, so take this with caution.