Bitcoin ($BTC) reached a level not seen since January in the new week. at this point $BTC The price exceeded $82,000.
Despite the increase in $BTC On the price side, we are experiencing the longest period of negative funding in a decade.
K33 Research President Vettle Runde said in a new report that the average 30-day funding rate has been negative for 67 consecutive days.
It is stated that this period of negative funds even exceeded the period from March 15, 2020 to May 16, 2020.
According to the analyst, the continued negative trend during the price recovery indicates that the market remains defensive.
Runde also pointed out that long periods of negative financing rates have historically coincided with market lows.
“Historically, long-term negative financings generally occurred near the bottom of the market.”
This shows that situations like the current one tend to have a positive impact on society. $BTC”
Lunde also claims that data from previous cycles shows that buying Bitcoin during periods of negative funding yields stronger and more consistent returns compared to random entry points.
According to Lunde, from a 30-day to 360-day perspective, investors who bought Bitcoin during periods when the 30-day funding rate was negative ranged from 83% to 96%.
“This situation makes it difficult to buy. $BTC In an environment like the current one, an uptrend is much more favorable than a buy. $BTC Randomly. ”
*This is not investment advice.
