A metric from bitcoin’s perpetual futures market suggests some traders may have become overleveraged during the recent rally to above $18,000.
The average level of the “funding rate” across major exchanges has risen sharply from 0.023% to a five-month high of 0.087% in the past 48 hours, according to data source Glassnode.
“Rising funding rates have in the past been associated with a larger portion of the market utilizing leverage via perpetuals,” Matthew Dibb, CEO of Stack Funds,…
Source link
