Funding rates on major centralized and decentralized exchanges (CEX and DEX) indicate a potential recovery in the altcoin market, according to Coinglass data. Several altcoins have seen price increases, prompting a return to neutral funding rates for some trading pairs. This shift suggests a warming sentiment towards altcoins.
Conversely, Bitcoin is encountering bearish sentiment as it nears the $90,000 resistance level. Despite this, Bitcoin's funding rates have not yet turned negative, contrasting with previous market downturns where altcoins faced negative rates while Bitcoin and Ethereum remained neutral. Funding rates are crucial for maintaining contract price stability and reflect market sentiment, with rates above 0.01% indicating bullishness and below 0.005% indicating bearishness.
Altcoin Market Shows Signs of Recovery as Bitcoin Faces Resistance
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