💡 CoinMarketCap | Crypto 101: Funding Rates 💡<
You called the direction right. You still lost money. Here is why.
Perpetual futures never expire, so a funding rate keeps their price anchored to spot. Every few hours, one side pays the other:
🔹 Positive rate: longs pay shorts
🔹 Negative rate: shorts pay longs
🔹 High rates held over time will quietly drain your position
The fee looks small. Compounded across days of a sideways market, it is not.
Check funding rates before you open a leveraged position 👇
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