Funding rate
A payment between longs and shorts of a perpetual, made at fixed times (every 8 hours on BTCUSDT at Binance). Positive: longs pay shorts; negative: shorts pay longs.
Why it matters
Funding pulls the perpetual's price toward the index: when longs crowd in and push it above, holding a long gets more expensive.
- Spot vs futures: owning the coin or a contract on its price
- Perpetual futures and leverage: where a position gets liquidated
- Funding rate explained: who pays whom, and what it tells you
- "The top of the Analysis panel: Now, timeframes, history, range"
- "CVD, derivatives and the order book in the terminal"
Education only, not financial advice · All terms