borrowing costs on leading cryptocurrency exchanges like Binance and Bybit have reached their highest point since 2021, IntoTheBlock noted in aAccording to the on-chain data provider, on 14th March, BTC perpetual swaps funding rates on Binance and Bybit recorded highs of 0.06% and 0.09%, respectively.Perpetual swaps are a type of derivative contract that allows traders to speculate on the price of an asset without actually owning it.
When an asset’s funding rates surge, as in this case with BTC, it suggests that there’s an unusually high demand for long positions compared to short positions. This indicates that more traders are betting on the price of BTC increasing than those betting on it decreasing. High-leverage trading often reflects market sentiment. If traders are highly bullish and are using leverage to open long positions, this sentiment can drive up the funding rates.
Coin Coin Latest News, Coin Coin Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: CryptoAmb - 🏆 22. / 68 Read more »
Source: CryptoAmb - 🏆 22. / 68 Read more »
Source: CryptoAmb - 🏆 22. / 68 Read more »
Source: CryptoAmb - 🏆 22. / 68 Read more »
Source: CryptoAmb - 🏆 22. / 68 Read more »
Source: CryptoAmb - 🏆 22. / 68 Read more »