BlockBeats News, February 10th, according to Coinglass data, Bitcoin dropped below $69,000. Funding rate data shows the current market is still bearish overall, with several exchanges’ BTC and ETH funding rates in the negative, indicating that shorts are paying fees to longs to maintain their positions. The market’s bearish sentiment towards major altcoins SOL and XRP is stronger than towards BTC.
BlockBeats Note: Funding Rate is a fee set by cryptocurrency exchanges to keep the perpetual contract price in line with the underlying asset price. It is a mechanism for fund exchange between long and short traders, and the exchange does not collect this fee. It is used to adjust the cost or profit of traders holding contracts to keep the contract price close to the underlying asset price.
When the funding rate is 0.01%, it represents the baseline rate. When the funding rate is above 0.01%, it indicates a generally bullish market. When the funding rate is below 0.005%, it indicates a generally bearish market.
