2025-12-26 23:21:56

Funding rates are turning fully bearish, and many people are starting to worry: is there still a chance now? Should I clear my positions and wait for the bull market?

Honestly, anyone who has experienced several market cycles can see that this kind of hesitation is pointless. Opportunities do exist, but only for those who are prepared. The current bearish sentiment could be a trap, or it could be a strategic setup for next year's golden period—it's all about how you operate.

Let's start with a fact: negative funding rates ≠ the market will continue to decline. A quick look at history makes this clear. In 2022, when TerraUSD collapsed, funding rates were extremely bearish for a long time, but in 2023, the market rebounded. The bull-bear shifts in crypto markets are usually accompanied by extreme emotions; widespread panic might actually indicate a bottom.

Although the pressure is significant now, there is also good news. Ethereum's Fusaka upgrade introduces a deflationary mechanism, and the trend of tokenizing US debt highlights Ethereum's increasing core position—these fundamentals will ultimately support the market to overcome difficulties.

So, how to judge whether it's an opportunity or a trap? I have three signals:

1. Whether funding rates have returned to neutral levels
2. Whether Bitcoin can hold the annual support line
3. Whether ETF funds have shifted from outflows to inflows

If two of these are met, the market is basically stabilizing, and you can consider gradually entering. If all three are met, that’s even more confirmation. If not, it’s okay to wait a bit longer.

ETH0,23%

BTC0,29%

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ContractSurrender

· 12-27 04:58

Those who are bearish on the rate and just clear their positions are doomed to be cut, it's not too late to act later. The truly profitable ones are quietly positioning themselves at this time. The bottom is often formed through repeated oscillations like this; if your mindset collapses, it's over. I'm optimistic about Ethereum's latest upgrade; long-term issues are not a big deal. What are you hesitating for? Just wait until two signals are satisfied before jumping in. Clearing positions in anticipation of a big rise often marks the beginning of a reverse move. A shift to a bearish rate actually signals an opportunity. If the annual line can't hold, let's talk about it then; currently, the price is trapped in a downtrend. I've just averaged down; anyway, I'm optimistic long-term. When the funding rate is extremely bearish, a rebound usually happens soon; the trick is that simple.

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fren_with_benefits

· 12-26 23:50

The fee rate is still being tested, no need to rush... If this wave isn't a trap, it would be a good time to buy the dip.

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SeasonedInvestor

· 12-26 23:46

It's the same old story, talking like a textbook. How many people actually make money relying on these signals?

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RektButAlive

· 12-26 23:45

Wait, are you just going to clear your position when the rate outlook is bearish? How bad is this logic? Terra already went to extremes that year, and you still haven't learned your lesson?

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SleepyValidator

· 12-26 23:40

I think the rate outlook is just a trick by the whales. The 2022 wave didn't crash down, and it's even less likely now. Clearing out? That's laughable. Such a mindset is already a loss. Let's wait for those three signals; there's no rush anyway. Even the underdogs have rebounds, the key is whether you're prepared. Extreme rate = bottom signal; this pattern has been validated every time, don't overthink it. What can I say, right now it's just a bottoming process, patient people are waiting to eat the meat. The key level of the annual line is really strong; a clear signal only after a breakout. ETF flows are the real gold and silver; they're more reliable than rates. Don't rush to go all in or clear out; we're stuck between these two dilemmas.

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BridgeJumper

· 12-26 23:40

Regarding the bearish outlook on fees, there's no need for over-interpretation; history will repeat itself.

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ChainMelonWatcher

· 12-26 23:35

The story of being bearish on fees is really a wolf coming, I've seen it too many times.

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