Crypto Market Sees Increased Bearish Sentiment on Altcoins

According to BlockBeats, recent data from Coinglass indicates a shift in the crypto market sentiment, with participants showing increased bearishness towards altcoins following a period of decline. Meanwhile, Bitcoin's funding rate has returned to a neutral range. Funding rates are fees set by cryptocurrency trading platforms to maintain balance between contract prices and the prices of underlying assets, typically applied to perpetual contracts. This mechanism facilitates the exchange of funds between long and short traders, without the platform charging this fee, to adjust the cost or profit of holding contracts, ensuring contract prices remain close to asset prices. A funding rate of 0.01% signifies a baseline rate. When the rate exceeds 0.01%, it indicates a general bullish sentiment in the market. Conversely, a rate below 0.005% suggests a prevailing bearish outlook.