The post Ethereum Positive Funding Rates Surge As ETH Price Turns Bearish appeared on BitcoinEthereumNews.com.

Holders have been curious as to whether ETH price can maintain bullish momentum in December. Although bullish expectations remain high in light of market recovery, short term pullbacks are expected. ETH in particular, could be on the verge of a bearish retracement judging by its latest price action. – Advertisement – Bullish momentum has slowed own since the start of December, but more than that, the cryptocurrency appeared to be forming a bearish price-RSI divergence. ETH bulls continued to hold strong in the last 3 weeks or so. Meanwhile, the RSI has been achieving lower highs, forming a bearish divergence. ETH price action / source: TradingView Directional uncertainty is usually high at the start of the month. The formation of a bearish divergence after a strong rally signals a high probability that a pullback may occur. – Advertisement – ETH Price: Why Bulls are Still Holding on to Dominance Despite the bearish expectations, the strong bullish momentum in November raised hopes of more upside in the coming months. A noteworthy outcome is that investor sentiment may remain strong even when bearish signs appear. A classic example of such a scenario is the fact that ETH funding rates were mostly positive in November. That trend has remained so in the first 4 days of December. ETH funding rates / source: Coinglass ETH price did not demonstrate any signs indicating potential sell pressure. This was further supported by the fact that open interest remained high and close to its recent 2024 peak. ETH demand in the spot market also reflected the outcome of the derivatives market. It had net positive inflows worth $284.79 million on 4 December, building on $252.69 million observed in the previous day. Positive spot and derivatives flows indicate that ETH was still able to command heathy demand. This…

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Filed under: News - @ December 5, 2024 5:19 pm