Funding rate

Funding is a payment between longs and shorts that keeps a perpetual contract’s price near spot. Positive: longs pay shorts; negative: shorts pay longs.

How to read it

• Strongly positive: the crowd is overloaded with longs and pays for it. The market often moves against the overloaded side.
• Strongly negative: shorts are overloaded, a short squeeze is possible.
• Price rises while funding falls to zero or below: the rally goes against the crowd rather than on its leverage. Usually healthier.

What is in the pane

• Each candle shows the rate of its period. A candle longer than the period shows the average of its payments.
• The current period is the exchange’s forecast: it changes until the payment.
• The legend shows the average forecast rate of the next payment and the time to it.

Settings

Exchanges and contracts

Binance, Bybit, OKX; USDT and USDC. Default: all.

Show («Показывать»)

• Average («Среднее»): the average rate of the selected contracts.
• By contract («По контрактам»): a line for each one, to see which exchange is skewed.

Default: Average.

Rate («Ставка»)

• Per payment («За выплату»): as it is paid.
• Normalised to 8h («Приведённая к 8ч»): converted to 8 hours. Coins pay every 1, 4 or 8 hours; normalising makes them comparable.

Default: Per payment.

History depth

Binance and Bybit provide the full history, OKX about three months.