Analysis: Binance BTC funding rate enters third long-term negative zone since 2023

Pseudonymous CryptoQuant contributor Nino reported that Binance's Bitcoin perpetual futures funding rate is showing a negative trend. The analyst outlined that this is the third time since 2023 that the funding rate has entered a long-term negative zone, and that it is expected that there will be significant volatility in the future. A negative funding rate means that the spot market price is higher than the futures market price, which can be interpreted as an increase in short-term position demand and more traders short selling.