Analyst: Bitcoin Funding Rate Turns Positive Again, Market Sentiment May See Turning Point
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Analyst: Bitcoin Funding Rate Turns Positive Again, Market Sentiment May See Turning Point
CryptoQuant analyst Darkfost stated that since July, sentiment in the derivatives market has recovered, and the Binance funding rate, as an important reference indicator for the futures market, has started to turn positive again. He believes that from March to late May, Bitcoin experienced a deep correction, market pessimism accumulated and drove the funding rate to turn negative at one point, and this process once provided support for Bitcoin's technical rebound.
Navigating Web3 tides with focused insightsTechFlow News, July 29, CryptoQuant analyst Darkfost stated that since July, sentiment in the derivatives market has recovered, and Binance funding rates, as an important reference indicator for the futures market, have begun to turn positive again. He believes that from March to late May, Bitcoin experienced a deep correction, market pessimism accumulated and pushed funding rates negative at one point, and this process once provided support for Bitcoin's technical rebound.
Darkfost pointed out that pure negative consensus is not sufficient to drive a market reversal; typically, the emergence of a "sentiment divergence" signal where funding rates turn positive again is also needed. Historically, similar patterns appeared in September 2024 and December 2022, after which Bitcoin saw significant gains. The reappearance of this structure currently may indicate that market negative sentiment has peaked at this stage, and there is a possibility for Bitcoin to rebuild an upward trend in the coming months.
