Funding is the fee perp traders pay each other every 8 hours. Here's how to read it with today's numbers.
Positive funding: longs pay shorts. Negative: shorts pay longs. On Binance USDT-M perps, 0.0100% per 8 hours is the default when the perp price sits close to spot.
At writing:
- $SOL at 0.0100%, same as XRP and ZEC
- ETH: 0.0054%
- $BTC at 0.0039%
- BNB: 0.0000%
What the default rate costs:
- 0.0100% x 3 payments = 0.03% a day
- A 1,000 USDT long pays 0.30 USDT a day
- Over 30 days that's about 9 USDT, before trading fees
BTC has closed lower four days in a row, yet its funding is still positive and under the default. Shorts aren't crowded enough to flip it negative, and longs aren't paying extra. I read that as a market without a strong lean either way.
Funding resets every 8 hours, so check it before holding a perp for days.
Would you hold a 7-day SOL perp long at 0.03% a day, or use spot for a swing that long?
$SOL
Positive funding: longs pay shorts. Negative: shorts pay longs. On Binance USDT-M perps, 0.0100% per 8 hours is the default when the perp price sits close to spot.
At writing:
- $SOL at 0.0100%, same as XRP and ZEC
- ETH: 0.0054%
- $BTC at 0.0039%
- BNB: 0.0000%
What the default rate costs:
- 0.0100% x 3 payments = 0.03% a day
- A 1,000 USDT long pays 0.30 USDT a day
- Over 30 days that's about 9 USDT, before trading fees
BTC has closed lower four days in a row, yet its funding is still positive and under the default. Shorts aren't crowded enough to flip it negative, and longs aren't paying extra. I read that as a market without a strong lean either way.
Funding resets every 8 hours, so check it before holding a perp for days.
Would you hold a 7-day SOL perp long at 0.03% a day, or use spot for a swing that long?
$SOL
