Bitcoin Funding Rate Falls to Bearish Territory as Altcoins See Intensified Bearish Sentiment, Coinglass Data Shows

COINOTAG News, citing Coinglass data dated October 29, shows that funding rates across top CEX and DEX venues have slipped after an early dip, signaling renewed risk-off pressure for altcoins. The Bitcoin funding rate shifted from neutral toward bearish territory, highlighting a broader shift in market sentiment.

Funding rates operate as a mechanism for perpetual contracts, aligning contract prices with the underlying asset while not appearing as a platform fee. They reflect the cost of sustaining long versus short exposure and influence trading profitability. The baseline sits at 0.01%; readings above this level are generally bullish, while readings below 0.005% are bearish.

For investors, the current backdrop indicates cautious positioning in altcoins and keen attention to Bitcoin dynamics. Monitor changes in funding rates across CEX and DEX, and adjust risk controls accordingly. This data-driven view supports disciplined decision-making amid choppy liquidity.