it has not been enough. Currently, BTC is up by 0.6% in the past 24 hours however, the asset is still down by 11% on the 7-day chart.According to Shayan, the key driver behind Bitcoin’s recent price drop could be attributed to increased selling activity within these markets. This was further evidenced by the sharp drop in funding rates, a vital indicator of market sentiment.
Funding rates have recently turned negative, signaling a bearish sentiment dominated by short sellers. This shift suggests that the futures market is cooling down, potentially setting the stage for a more stable bullish trend in the future.“The funding rates have now turned negative, reflecting an overall bearish sentiment and the dominance of short sellers. However, this could also be seen as a positive sign, as it suggests the futures market is no longer overheated.