Crypto Market Sees Slight Recovery, Funding Rates Indicate BTC and ETH Remain Bearish, Market Sentiment Gloomy

BlockBeats News, May 17th, according to HTX market data, Bitcoin is currently trading at $78,462.57, with a 24-hour increase of 0.70%; Ethereum is currently trading at $2,194.54, with a 24-hour increase of 1.00%. Despite a slight price recovery, the current mainstream CEX funding rates indicate that both BTC and ETH are in a bearish zone, and the market's willingness to go long remains weak.

On the BTC side, funding rates on platforms like Binance are concentrated below 0.001%, far below the 0.005% bearish threshold. Platforms like OKX are slightly higher but still in bearish territory, showing a clear bearish signal for BTC overall. As for ETH, most platform rates are similarly low, with platforms like Binance below the 0.005% threshold, and Gate recording a negative value of -0.0053%, indicating an ETH bearish outlook consistent with BTC.

BlockBeats Note: Funding Rate is a fee set by cryptocurrency exchanges to maintain the balance between the contract price and the underlying asset price, usually applicable to perpetual contracts. It is a fund exchange mechanism between long and short traders, and the trading platform does not charge this fee; instead, it is used to adjust the cost or profit of traders holding contracts to keep the contract price close to the underlying asset price.

When the Funding Rate is 0.01%, it represents the baseline rate. A Funding Rate greater than 0.01% indicates a generally bullish market sentiment. A Funding Rate below 0.005% indicates a generally bearish market sentiment.