Understanding Funding Rates in Crypto Futures: When They Go Positive or Negative
Funding rates are a key feature of perpetual futures markets, used to keep futures prices aligned with the underlying spot price of an asset like BTC or ETH. These periodic payments occur every funding interval (often every 8 hours) and are exchanged between traders on opposite sides of the market.
A positive funding rate happens when the perpetual futures price trades above the spot price. In this situation, long positions (buyers) pay a fee to short positions (sellers). This typically reflects bullish market sentiment, where more traders are betting prices will rise and are willing to pay for exposure. Consistently positive funding can indicate strong buying interest but may also signal over-leverage on the long side.
Conversely, a negative funding rate occurs when the futures price is below the spot price. Here, short positions pay long positions, signaling bearish sentiment and a higher number of traders expecting prices to fall. A deep negative rate can appear during market stress or strong downtrends, as seen when ETH funding rates turned sharply negative during recent volatility events.
Understanding funding rates helps traders gauge market sentiment and crowding, plan entry/exit timing, and manage the cost of holding positions in perpetual futures.
A lot of people do not understand how to trade with signals and i am going to explain.
We are 100% certain that $ESP will dump and as you can see our entry is at $0.0933, we wont close thay entry anytime soon, except we get liquidated, but before we get liquidated we made a 82% ROI and we took zero profits.
This is what a lot of people do when trading with signals( not advisable ) , if the trade don’t hit 100%(+) ROI they wont take profit and some times they will go from having 80% profit to seeing -38% and either hitting stop loss or getting liquidated.
⭐ $ENSO compression structure hinting at breakout expansion.
LONG: ENSO
Entry: 1.1– 1.2
Stop-Loss: 0.9
TP1: 1.3
TP2: 1.5
ENSO is consolidating within a tight range after defending a key support zone, suggesting accumulation rather than distribution. The structure resembles compression, where volatility contracts before a potential expansion phase.
Momentum indicators remain balanced, with RSI sitting in neutral territory and leaving room for upside continuation. Recent price behavior shows buyers consistently defending the lower boundary, reinforcing the validity of the entry zone.
With volatility metrics aligning with the projected move and price holding above support, the setup favors a breakout continuation toward the outlined targets if momentum begins to expand.
Trade $ENSO here 👇 {spot}(ENSOUSDT) {future}(ENSOUSDT)
Binance Pay Ramadan Red Packet Giveaway 2026: Claim Your Red Packet and Get Up to $100 Each!
This is a general announcement. Products and services referred to here may not be available in your region. Fellow Binancians, To celebrate the spirit of giving this Ramadan, Binance is pleased to announce the Ramadan Red Packet Giveaway 2026. During the Activity Period, eligible users from qualified countries and regions can claim red packets via Binance Pay, invite friends to participate, and earn additional rewards by completing selected tasks. Red packets are a fun and interactive way to share crypto rewards while embracing the values of generosity and community throughout the holy month. Activity Period: 2026-02-18 00:00 (UTC) to 2026-03-18 00:00 (UTC) Start Here! How to Participate: Red packets contain a surprise crypto reward that can be claimed through Binance Pay. Log in to the latest version of the Binance App.Tap the [Pay] icon on the homepage.Select [Red Packet Giveaway] and tap [Claim] to receive your free red packet. 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These Pay Red Packets are limited, and will be distributed on a first-come, first-served basis.After claiming their first Red Packet, users and invitees may qualify to receive extra Red Packets for referring users who register and complete KYC. Each red packet consists of up to $100 worth of rewards in supported virtual assets. These Invitation Red Packets are also limited, and will be distributed on a first-come, first-served basis. Eligible Users can share the Campaign activity link or poster with their friends through social media. Invitation Red Packets will only be distributed if there are “Successful Invitations”. Eligible Users can check the status of invites that they have sent in "Reward Details". Each Invited User can only be invited once during the Promotion Period. The successful user entitled to a red packet shall be the one who provided the link through which the user clicked and successfully received a Pay Red Packet.Users are strictly prohibited from:Using cheats, mods, hacks, or third-party software to alter the Binance Pay Red Packet Campaign results;Employing software to mine data, intercept, or collect information related to the Campaign;Selling, buying, trading user accounts, or impersonating others in connection with user accounts, including any similar or circumvention actions.If Binance suspects or determines any fraudulent, suspicious, or unauthorized activity (“Fraud Action”), Binance may, in its sole and absolute discretion:Suspend or terminate the user’s Binance Account;Disqualify the user from the Campaign and revoke all related points, entitlements, and rewards.Binance reserves the sole discretion to amend or vary these terms at any time without prior notice, including canceling, extending, terminating, or suspending the Campaign, modifying eligibility criteria, winner selection, or timing.Binance reserves the right to disqualify any participants who tamper with Binance program code, or interfere with the operation of Binance program code with other software.For more information, see our Terms of Use, Risk Warning, and Red Packet Giveaway Campaign T&C. The Binance Terms and Conditions for Prize Promotions apply to this Activity.There may be discrepancies in the translated version of this original article in English. Please reference this original version for the latest or most accurate information where any discrepancies may arise. Thank you for your support! Binance Team 2026-02-18