Bitcoin, Ethereum Funding Rates Remain Negative Amid Market Volatility
The funding rates for Bitcoin and Ethereum, the leading cryptocurrencies by market cap, remain negative for derivative traders, suggesting a potential short-term bull signal. The Federal Reserve’s recent interest rate hikes and plans for future tightening of policy have placed increased pressure on markets across the globe.
This past Friday, Federal Reserve Chairman Jerome Powell reiterated his intent to counter inflation with higher interest rates in the near future. Markets reacted sharply to inflation news in May and have continued to slowly make new lows amid a summer of economic turmoil. The macroeconomic picture has bled into prices for derivatives, which are contracts whose value is dependent on an underlying asset or group of assets. Derivative prices have kept funding rates generally below zero since May.
Source
https://t.me/Bitcoin_Magazine
