The post Ethereum Funding Rates surge: Multi-month highs signal bullish sentiment appeared on BitcoinEthereumNews.com.

Ethereum’s Funding Rates hit 0.03%, signaling bullish sentiment and rising market interest. The key levels to watch are $3,800 resistance and $3,700 support as momentum builds. Ethereum’s Funding Rates have surged to multi-month highs, reaching levels last observed in January 2024, when ETH experienced an 88% rally. This increase reflects growing bullish sentiment in the derivatives market, driven by a rise in open interest and shifts in trader positions. The metrics suggest potential upside momentum for Ethereum as the market watches critical price levels. Ethereum Funding Rates hit a major milestone The Ethereum Funding Rates chart, per CryptoQuant, shows a significant increase to 0.03%, marking a pivotal moment in market dynamics. Elevated funding rates historically indicate traders leaning heavily toward long positions, reflecting expectations of further price growth. In January 2024, when funding rates reached similar levels, Ethereum embarked on a sharp upward rally. This funding rate milestone may now foreshadow renewed bullish trends if historical patterns hold. Source: CryptoQuant Long/short ratio shows nuanced market sentiment The long/short ratio, per Coinglass, was 0.9301% at press time, with long positions accounting for 48.18% and short positions at 51.81%. However, analyzing the number of trader accounts reveals a stark contrast, with long accounts at 81.47% and short accounts at 18.53%, resulting in a long-to-short account ratio of 4.40. This disparity highlights a market where fewer traders hold large short positions while a significant majority are betting on Ethereum’s long-term price appreciation. This imbalance could lead to heightened volatility, as any substantial liquidation could trigger sharp price movements. Source: Coinglass Open interest: Rising market participation Ethereum’s open interest rose to over $19.5 billion, reflecting increased trading activity and growing investor interest in ETH derivatives. This steady rise in open interest, combined with higher Ethereum Funding Rates, indicates a strong inflow of capital into…

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Filed under: News - @ December 10, 2024 9:18 pm