search
Homeweb3.0When is the Bitcoin funding rate high or low?
When is the Bitcoin funding rate high or low?Jan 19, 2024 pm 08:51 PM
Bitcoin funding rate

The Bitcoin funding rate is a mechanism in contract trading that is used to balance the power between longs and shorts in the market. Its high and low are related to the difference between long and short positions in the market, and are usually automatically adjusted by the exchange. In contract trading, if the long positions are larger relative to the short positions, the long positions need to pay funding fees to the short positions, and vice versa. For investors, how much is the Bitcoin funding rate? And how low is the Bitcoin funding rate? Very important, this will directly affect the net profit. Generally speaking, the maximum upper limit of Bitcoin funding rate is 0.375%, and the lowest limit is -0.375%. The editor below will tell you in detail.

When is the Bitcoin funding rate high or low?

What is the high Bitcoin funding rate?

Generally, when the Bitcoin funding rate exceeds 0.01% of the base rate, it is considered higher. High funding rates mean long positions pay higher funding fees to short positions. This shows strong demand for long positions relative to short positions, which could cause the price of the perpetual futures contract to be higher than the price of the underlying asset.

High funding rates may also reflect bullish market sentiment, with traders optimistic about future underlying asset prices. They are willing to pay higher funding rates to maintain long positions in anticipation that the price of the underlying asset will rise.

High funding rates can be a warning sign for traders. If funding rates remain high, perpetual futures contract prices may rise unsustainably, triggering market adjustments or even collapse.

How low is the Bitcoin funding rate?

Bitcoin funding rate below -0.08% is considered a low level, which means that the short power in the current market is relatively strong. When the mark price is lower than the index price, in order to make the mark price approach the index price, the short side (put) will pay the funding rate to the long side (call) to encourage more people to go long on the perpetual contract, thereby pushing up the index price. . In this case, the funding rate will be negative.

The funding rate is only calculated based on the funds you need to pay or receive for the long or short position in the transaction, excluding any handling fees paid to the exchange. It has nothing to do with leverage, but rather your position size.

The above is the detailed content of When is the Bitcoin funding rate high or low?. For more information, please follow other related articles on the PHP Chinese website!

Statement
This article is reproduced at:脚本之家. If there is any infringement, please contact admin@php.cn delete
Qubetics ($TICS): The Revolutionizing AI CryptoQubetics ($TICS): The Revolutionizing AI CryptoMar 23, 2025 am 10:08 AM

Cryptocurrency has always been a realm where the cutting edge of technology meets bold ambition, and it's only getting more exciting in the future. As artificial intelligence continues to grow in influence, there are a handful of digital assets that

Bitcoin [BTC] was on a downtrend after losing the $92,000-support level in the final week of FebruaryBitcoin [BTC] was on a downtrend after losing the $92,000-support level in the final week of FebruaryMar 16, 2025 am 10:10 AM

Technical indicators such as the OBV showed that selling pressure has been dominant, meaning more losses may be likely ahead.

Bitcoin historical price list 2015-2025 Bitcoin price trend charts in the past decadeBitcoin historical price list 2015-2025 Bitcoin price trend charts in the past decadeMar 12, 2025 pm 06:54 PM

This article reviews the ten-year price trend of Bitcoin from 2015 to 2025 in detail. Data shows that Bitcoin price fluctuates dramatically, experiencing huge changes from $200 to over $100,000. During this period, the price of Bitcoin was affected by a variety of factors, including halving of block rewards, market sentiment, regulatory policies, and global macroeconomic situation. The article analyzes the rise and fall of Bitcoin prices year by year, and focuses on interpreting the price changes in key years, providing a reference for investors to understand the history of Bitcoin prices and predict future trends. Keywords: Bitcoin price, Bitcoin trend, Bitcoin decade, digital currency, cryptocurrency

Top 10 Free Virtual Currency Exchanges Rankings The latest top ten virtual currency APP trading platformsTop 10 Free Virtual Currency Exchanges Rankings The latest top ten virtual currency APP trading platformsMar 11, 2025 am 10:18 AM

The top ten free virtual currency exchanges are ranked: 1. OKX; 2. Binance; 3. Gate.io; 4. Huobi Global; 5. Kraken; 6. Coinbase; 7. KuCoin; 8. Crypto.com; 9. MEXC Global; 10. Bitfinex. These platforms each have their own advantages.

Top 10 digital currency app platforms rankings Virtual currency exchange latest rankings in 2025Top 10 digital currency app platforms rankings Virtual currency exchange latest rankings in 2025Mar 13, 2025 pm 06:45 PM

Top 10 digital currency app platforms: 1. OKX, 2. Binance, 3. Gate.io, 4. Kraken, 5. Coinbase, 6. Huobi, 7. KuCoin, 8. Crypto.com, 9. Bitfinex, 10. Gemini; these platforms are ranked according to factors such as transaction volume, security and user experience. When choosing, the platform's security, liquidity, transaction fees, currency selection, user interface and customer support should be considered.

Top 10 Global Digital Virtual Currency Trading Platform Ranking (2025 Authoritative Ranking)Top 10 Global Digital Virtual Currency Trading Platform Ranking (2025 Authoritative Ranking)Mar 06, 2025 pm 04:36 PM

In 2025, global digital virtual currency trading platforms are fiercely competitive. This article authoritatively releases the top ten digital virtual currency trading platforms in the world in 2025 based on indicators such as transaction volume, security, and user experience. OKX ranks first with its strong technical strength and global operation strategy, and Binance follows closely with high liquidity and low fees. Platforms such as Gate.io, Coinbase, and Kraken are at the forefront with their respective advantages. The list covers trading platforms such as Huobi, KuCoin, Bitfinex, Crypto.com and Gemini, each with its own characteristics, but investment should be cautious. To choose a platform, you need to consider factors such as security, liquidity, fees, user experience, currency selection and regulatory compliance, and invest rationally

Cyber criminals were able to steal cryptocurrency worth 1.5 billion US dollarsCyber criminals were able to steal cryptocurrency worth 1.5 billion US dollarsMar 16, 2025 am 11:12 AM

Since then, the provider has been investigating how this could have happened and how it will (hopefully) not happen again in the future.

Ethereum historical price trend chart 2015-2024 Ethereum k-line chart ten years trend trendEthereum historical price trend chart 2015-2024 Ethereum k-line chart ten years trend trendMar 12, 2025 pm 06:57 PM

This article reviews the price trend of Ethereum since its listing in 2015, from the initial $0.31, it experienced a surge in 2017 to nearly $1,400, as well as a market plunge in 2018 and 2022, and then hit a record high of $4,891.70 in 2021, as well as a rebound and stability in 2023. The article data covers the significant changes in Ethereum prices over each year and predicts price trends for 2024-2025, providing investors with a comprehensive historical reference and future outlook for Ethereum prices. Understand the history of Ethereum price fluctuations and seize investment opportunities!

Hot AI Tools

Undresser.AI Undress

Undresser.AI Undress

AI-powered app for creating realistic nude photos

AI Clothes Remover

AI Clothes Remover

Online AI tool for removing clothes from photos.

Undress AI Tool

Undress AI Tool

Undress images for free

Clothoff.io

Clothoff.io

AI clothes remover

AI Hentai Generator

AI Hentai Generator

Generate AI Hentai for free.

Hot Tools

SAP NetWeaver Server Adapter for Eclipse

SAP NetWeaver Server Adapter for Eclipse

Integrate Eclipse with SAP NetWeaver application server.

SublimeText3 Linux new version

SublimeText3 Linux new version

SublimeText3 Linux latest version

MinGW - Minimalist GNU for Windows

MinGW - Minimalist GNU for Windows

This project is in the process of being migrated to osdn.net/projects/mingw, you can continue to follow us there. MinGW: A native Windows port of the GNU Compiler Collection (GCC), freely distributable import libraries and header files for building native Windows applications; includes extensions to the MSVC runtime to support C99 functionality. All MinGW software can run on 64-bit Windows platforms.

WebStorm Mac version

WebStorm Mac version

Useful JavaScript development tools

VSCode Windows 64-bit Download

VSCode Windows 64-bit Download

A free and powerful IDE editor launched by Microsoft