$EPIC Current funding rate: +0.239% (settled every 4 hours); longs pay.
Let’s use this figure to break down funding rates.
The annualized rate is simply this period’s rate multiplied across a year. The rate changes every period, so don’t treat it as a guaranteed annualized figure.
A strongly positive rate is often interpreted as overheated bullish sentiment, with many traders using leverage to go long; a clearly negative rate suggests the opposite.
Don’t change your original plan based on a single indicator, much less use borrowed money to test a reading.
Let’s use this figure to break down funding rates.
The annualized rate is simply this period’s rate multiplied across a year. The rate changes every period, so don’t treat it as a guaranteed annualized figure.
A strongly positive rate is often interpreted as overheated bullish sentiment, with many traders using leverage to go long; a clearly negative rate suggests the opposite.
Don’t change your original plan based on a single indicator, much less use borrowed money to test a reading.