$CT ｜Funding rate: -0.0794%｜Shorts pay｜Current price: 0.2293
Before looking at fund flows, first understand the funding rate.
Funding fees are deducted from or added to your account balance. The longer you hold a position, the more fees accumulate.
The further the rate deviates from normal, the more crowded one side of the market is. If the price moves in the opposite direction, the risk of cascading stop-losses increases.
Understanding an indicator helps you avoid being alarmed by a single number; it isn't a tool for predicting price movements.
Before looking at fund flows, first understand the funding rate.
Funding fees are deducted from or added to your account balance. The longer you hold a position, the more fees accumulate.
The further the rate deviates from normal, the more crowded one side of the market is. If the price moves in the opposite direction, the risk of cascading stop-losses increases.
Understanding an indicator helps you avoid being alarmed by a single number; it isn't a tool for predicting price movements.