Crypto Market Sentiment Remains Bearish Despite Recent Rebound

According to BlockBeats, data from Coinglass indicates that despite a recent rebound in the cryptocurrency market, participants maintain a predominantly bearish outlook. The funding rates across major centralized and decentralized exchanges (CEX and DEX) show negative values for nearly all asset trading pairs. Funding rates are fees set by cryptocurrency trading platforms to maintain a balance between contract prices and the prices of the underlying assets, typically applied to perpetual contracts. This mechanism facilitates the exchange of funds between long and short traders, without the trading platform collecting these fees. It serves to adjust the cost or profit of holding contracts, ensuring that contract prices remain close to the underlying asset prices. A funding rate of 0.01% is considered the baseline. When the funding rate exceeds 0.01%, it indicates a generally bullish market sentiment. Conversely, a funding rate below 0.005% suggests a bearish market sentiment.