K33 Research: Shorts may be running out of steam, and the BTC contract funding rate is in negative territory for the first time since the 2022 bear market bottom.

BlockBeats news, on September 4th, K33 Research analyst Vetle Lunde stated that the funding rate of BTC perpetual futures has been below neutral for more than 30 days in a row, and the average funding rate for the four weeks is currently at a negative level for the first time since December 25, 2022. When the funding rate of BTC perpetual futures is negative, it means that traders are mostly betting on the decline in asset prices. However, hedging or directly shorting positions are becoming increasingly crowded, which is also a clear indicator that the sellers are approaching exhaustion. The analyst pointed out that if the market follows seasonal trends, then September will be a good opportunity to buy the dips, and a recovery may occur in the fourth quarter of this year. Historically, buying the dips in September has indeed yielded decent returns by the end of the year.