Crypto market's back to neutral funding rates, showing a mix of bullish and bearish vibes. Wonder how long this balance will last—any predictions?

According to BlockBeats, data from Coinglass indicates that the funding rates on major centralized and decentralized exchanges have returned to a neutral state, with both neutral and bearish sentiments present in the market. Funding rates are a mechanism used by cryptocurrency trading platforms to maintain balance between contract prices and the prices of underlying assets, typically applied to perpetual contracts. This mechanism involves the exchange of funds between long and short traders, without the trading platform charging a fee, to adjust the cost or profit of holding contracts and keep contract prices close to the asset prices.

A funding rate of 0.01% signifies a baseline rate. When the funding rate exceeds 0.01%, it suggests a general bullish sentiment in the market. Conversely, when the funding rate falls below 0.005%, it indicates a bearish sentiment.