NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Bitcoin Price Slips Below $108,000: Peter Schiff Anticipates ‘Brutal’ Bear Market, CZ Responds
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Bitcoin Price Slips Below $108,000: Peter Schiff Anticipates ‘Brutal’ Bear Market, CZ Responds

Bitcoin’s “Insane” Funding Rate is a Grave Sign for the Crypto Market

Cole Petersen
Cole Petersen
5 years ago
2 mins read
Crypto

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Bitcoin’s recent price action has done tremendous damage to the bullish market structure that the cryptocurrency was able to form throughout the past couple of months, with many analysts now noting that the crypto could be poised for significantly further downside.

One top analyst is now noting that one technical indicator that spells trouble for where the benchmark cryptocurrency is going next is its funding rate on major margin trading platforms.

If BTC begins a notable near-term downtrend, it is highly likely that this will send shockwaves throughout the aggregated crypto market, leading many major altcoins that have seen some intense bullishness to post massive losses.

Bitcoin’s Funding Rate Spells Trouble for Where the Crypto is Heading Next 

This past Sunday, just minutes after Bitcoin’s weekly close, the crypto rallied all the way up to highs of $10,000 before finding a significant amount of resistance that halted its uptrend and sparked a notable near-term selloff.

One byproduct of this bearishness is the fact that Bitcoin’s funding rate for long positions on major margin trading platforms is incredibly high at the moment, which is not a bullish sign.

Jacob Canfield, a top cryptocurrency analyst and trader, spoke about this in a recent tweet, telling his followers that the long-position funding rate spiking while BTC’s price is dropping is “not bullish at all.”

“Funding is actually insane right now for bitcoin. How do we drop 7% and funding spikes for longs. This…is not bullish at all.”

Funding is actually insane right now for #bitcoin.

How do we drop 7% and funding spikes for longs.

This shit is not bullish at all.

— Jacob Canfield (@JacobCanfield) February 25, 2020

At the time of writing, Bitcoin’s funding rate on BitMEX is a positive 0.0404%, meaning those currently in long positions have to pay out those in short positions. This suggests that bulls are overly confident, with their positions potentially acting as fuel for a major long squeeze.

The Next Major BTC Selloff Could Send Shockwaves Throughout Altcoin Market

Throughout Bitcoin’s firm 2020 uptrend, there are countless examples of smaller cryptos that have significantly outperformed Bitcoin, which isn’t an uncommon occurrence within bullish market conditions.

When BTC enters downtrends, however, altcoins tend to significantly underperform the benchmark cryptocurrency, which is already something that is being seen today.

Currently, Ethereum, XRP, Litecoin, and Bitcoin Cash are all trading down just under 5%, while BTC is only trading down 2.5%.

Some of 2020’s best performing cryptocurrencies – including Tezos and Chainlink – have been hit hard by today’s selloff, trading down 10% and 8% respectively.

If Bitcoin continues expressing bearishness as it moves down towards its key support within the lower-$9,000 region, it is highly probable that altcoins will soon see sizeable losses that outpace that of BTC.

Featured image from Shutterstock.
Tweet123Share196ShareSend
Cole Petersen
Cole Petersen

Cole Petersen

Cole is a cryptocurrency analyst based in Los Angeles. He studied at the University of California Irvine and has been interested in Bitcoin and the crypto markets since 2013.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Dogecoin

Dogecoin Comeback Trail: RSI Breakout And Price Action Hint At A $0.21–$0.25 Surge

Dogecoin is regaining its spark as technical indicators flash signs of renewed bullish momentum. Following a prolonged consolidation and a...

Godspower Owie 3 hours ago
Cardano

‘Buy Of The Century’: Cardano Could Be The 2026 Game-Changer Under $0.20 — Analyst

A well-known crypto commentator has set off fresh debate by laying out a dramatic buy plan for Cardano (ADA), while...

Christian Encila 4 hours ago
The Bitcoin OG Is Back – Opens Massive Short After $30M USDC Deposit

The Bitcoin OG Is Back – Opens Massive Short After $30M USDC Deposit

Bitcoin is staging a modest rebound after several days of intense selling pressure and fear across the market. The leading...

Sebastian Villafuerte 7 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Solana SOL SOLUSD

Analysts See $250 Rally Ahead as Solana Holds Key Support and Trading Volume Surges

James Halver 51 minutes ago
Ethereum

Ethereum and Solana Price Ready To Send Hard? Legendary Analyst Says It’s Time To Pay Attention

Scott Matherson 1 hour ago
xrp price xrpusdt

XRP Price Prediction: Can Ripple’s Treasury and Volume Growth Push XRP to $5?

James Halver 2 hours ago

Premium Sponsors

Press Releases

  • 仮想通貨おすすめ:政府閉鎖で注目高まるCPI発表と次回利下げを巡るFRBの動き

    ...

    10 hours ago
  • ドージコイン 今後の価格予測:0.86ドル到達の可能性、次世代ミームトークンが10倍成長か

    ドージコイン...

    10 hours ago
  • リップル 今後 に注目:オプション市場の強気転換が示すBTC・ETHからXRP・SOLへの資金移動

    リップル 今後...

    10 hours ago
  • 新しい仮想通貨が急上昇:レイヤー2プレセールで2,500万ドル目前

    ...

    11 hours ago
  • コインベース市場回復前に注目すべき仮想通貨プレセール銘柄

    ...

    11 hours ago

Newsletter

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.