Bitcoin's price decline has continued, briefly touching the $60,000 mark, as funding rates on both centralized and decentralized exchanges signal a shift to bearish sentiment. According to Coinglass data, the current funding rates are indicative of a market downturn, with rates falling below the 0.005% threshold, a level typically associated with bearish conditions.
Funding rates are a mechanism used by cryptocurrency exchanges to align the contract price with the underlying asset price, affecting the cost or profit for traders holding perpetual contracts. A funding rate below 0.005% suggests a bearish market, while rates above 0.01% indicate bullish conditions.
Bitcoin Funding Rates Signal Renewed Bearish Sentiment
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