$ID dropped 14 points in a day, crashing from 0.0431 to 0.03612, yet the funding rate is still negative at -0.0376%. With the price tanking like this, it's wild that shorts are still willing to pay to short, indicating the market sentiment hasn't flipped bullish at all. After the bulls got liquidated, the bears just keep piling on.
This negative funding rate means the cost for shorts is super low, and they can even earn interest from the longs. Usually, after a sharp price drop, the funding rate quickly turns positive because bears take profits, but $ID hasn't flipped, showing that way more people are betting on further declines than trying to catch a bottom. The bulls have faced some liquidations, but the buying pressure is weak; the funding situation still favors the bears.
Right now, the price is close to the intraday low, with a trading volume of 1.57 billion coins and a decent turnover rate, but this volume is more likely due to panic selling rather than accumulation. If the negative funding rate persists, any short-term rebounds will likely be suppressed by the bears, and it could even accelerate the search for a bottom. The question is: at the 0.036 level, do the bears dare to add more, or are they just waiting for the bulls to get liquidated further?
This negative funding rate means the cost for shorts is super low, and they can even earn interest from the longs. Usually, after a sharp price drop, the funding rate quickly turns positive because bears take profits, but $ID hasn't flipped, showing that way more people are betting on further declines than trying to catch a bottom. The bulls have faced some liquidations, but the buying pressure is weak; the funding situation still favors the bears.
Right now, the price is close to the intraday low, with a trading volume of 1.57 billion coins and a decent turnover rate, but this volume is more likely due to panic selling rather than accumulation. If the negative funding rate persists, any short-term rebounds will likely be suppressed by the bears, and it could even accelerate the search for a bottom. The question is: at the 0.036 level, do the bears dare to add more, or are they just waiting for the bulls to get liquidated further?