On October 11, according to Coinglass data, after the crypto market plummeted in the early morning, the current funding rates of mainstream CEX and DEX show that the current market has clearly turned bearish. The specific funding rates are shown in the figure below.
BlockBeats Note: Funding rates are fees set by cryptocurrency exchanges to maintain a balance between the contract price and the price of the underlying asset. They typically apply to perpetual contracts. Funding rates are a mechanism for exchanging funds between long and short traders. Exchanges do not charge this fee, but rather adjust the cost or benefit of holding contracts to keep the contract price close to the underlying asset price.
When the funding rate is 0.01%, it represents the base rate. When the funding rate is greater than 0.01%, it indicates a generally bullish market. When the funding rate is less than 0.005%, it indicates a generally bearish market.
