On February 4th, according to Coinglass data, Bitcoin briefly dropped below $73,000 in the early hours today before rebounding above $76,000. Funding rate data shows that market bearish sentiment has eased compared to yesterday, but overall remains bearish. The funding rates for Bitcoin on multiple trading platforms have turned positive from negative, but the overall bearish trend persists. Most trading platforms still have negative funding rates for Ethereum, meaning short sellers will continue to pay fees to longs to maintain their positions, indicating a more pessimistic market sentiment towards Ethereum.

BlockBeats Note: Funding rates are rates set by cryptocurrency trading platforms to maintain the balance between contract prices and the underlying asset prices, typically applicable to perpetual contracts. It is a mechanism for transferring funds between long and short traders; the trading platform does not charge this fee. It is used to adjust the cost or收益 of holding contracts so that the contract price stays close to the underlying asset price.

When the funding rate is 0.01%, it indicates the baseline rate. When the funding rate exceeds 0.01%, it suggests a generally bullish market. When the funding rate is below 0.005%, it indicates a generally bearish market.