0G's recent performance is interesting. When the funding rate drops to an extreme level of -2, it often signals a complete shift in market sentiment. The more negative the rate, the more aggressively short positions are piling up, but such extreme states can never last too long — history has shown us many times that the more extreme the moment, the more violent the reversal. Once the funding rate bottoms out and rebounds, short sellers are forced to close their positions, and the moves can sometimes be quite abrupt. Therefore, some traders position themselves at this point, waiting for a doubled market opportunity. Of course, this kind of operation carries significant risk, but when the funding rate is so low, rapid and dramatic movements are indeed more likely to occur.
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CoinBasedThinking
· 7h ago
With such extreme rates, a short squeeze is right around the corner, but you really have to have some guts to set an ambush.
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BlockchainGriller
· 8h ago
A fee rate dropping to -2 is really a signal; it's time to wake up when history repeats itself.
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GasFeeBarbecue
· 8h ago
The fee rate dropping to -2 is really cutting it close, with the short positions accumulating to this extent, a blow-up is inevitable. The question is, when will it happen?
0G's recent performance is interesting. When the funding rate drops to an extreme level of -2, it often signals a complete shift in market sentiment. The more negative the rate, the more aggressively short positions are piling up, but such extreme states can never last too long — history has shown us many times that the more extreme the moment, the more violent the reversal. Once the funding rate bottoms out and rebounds, short sellers are forced to close their positions, and the moves can sometimes be quite abrupt. Therefore, some traders position themselves at this point, waiting for a doubled market opportunity. Of course, this kind of operation carries significant risk, but when the funding rate is so low, rapid and dramatic movements are indeed more likely to occur.