Ethereum and Altcoins are Undergoing a Short-Term Uptrend

Negative funding has been dominant for a long time. This means that the short side is crowded, and a general expectation of a decline prevails in the market. However, the noteworthy point is that despite the prolonged negative funding, the price is not completely collapsing; on the contrary, there is a horizontal and gradual recovery.

The Funding EMAs have remained in the negative zone for a long time. In the last section, there is a tendency to approach zero. This indicates that the intensity of shorts has decreased, but there is no clear long dominance yet. In other words, although the price hasn't collapsed, there is no bullish signal. The market wants to fall but can't. Sellers are waiting to catch a peak.

Currently, Funding is slightly negative, around -0.0009. Long pressure has not yet formed, and shorting has not completely ended. However, there is a more balanced and neutral market structure compared to the past. The Binance chart is important here because large-volume futures trading takes place there.

ETH is currently in a structural transformation phase. So either sellers will capitalize on this false rise and start selling at a peak, or sellers will finally hand over the market to buyers, initiating an uptrend. In my opinion, the first possibility is more likely. Because there are still no buyers on the spot market. This reduces the likelihood of a sudden crash for altcoins, but the energy needed for a strong altseason is still lacking. During this period, selected altcoins may find buyers and gain upward momentum.

The market is trying to exit a risk-off phase. Therefore, shorter-term rallies are expected instead of an uptrend. $ETH #Ethereum