Odaily News CryptoQuant indicator data shows that Bitcoin funding rate has turned negative seven times in a year. Historically, the previous six negative funding rates have all heralded strong bullish momentum for BTC. This indicator reflects the cost of holding leveraged positions in perpetual futures contracts, indicating that traders have become overly bearish and also marks a local bottom, which is usually a precursor to a sharp rebound.
If history repeats itself, the market may soon turn bullish. Traders are currently paying close attention to liquidity levels below $98,000 and use $100,000 as a strong support to re-promote price discovery. If this level is broken, it may trigger an increase in buying pressure. To fully restore the bullish momentum and change market sentiment, BTC needs to recapture the $103,600 mark. (bitcoinist)