Bitcoin funding rate stays negative above $75K amid long liquidations
Bitcoin funding rate remains negative even as BTC trades above $75K. After a brief dip below $75K, about $120M of leveraged long futures were liquidated in the US session, while roughly $365M of bearish liquidations since Monday helped weaken short-side collateral. This is why the Bitcoin funding rate stays negative—more driven by forced positioning unwind than a fresh bear-market sentiment shift.
Traders also note derivatives context: intraday BTC moves have tracked the S&P 500, and failure to reclaim around $76K has capped derivatives optimism. Macro signals are mixed-to-slightly supportive (weaker industrial production, softer durable goods, rising jobless claims). On the demand side, US-listed spot Bitcoin ETFs saw about $921M net inflows over five days, and MicroStrategy continues accumulating. Options data (Deribit put-to-call premium) shows no clear spike in downside hedging demand.
Net: the persistent negative Bitcoin funding rate above $75K is not an immediate bearish alarm; it suggests shorts are still being squeezed and upside can hold, especially if BTC stabilizes after funding gradually improves.
Bullish
Funding staying negative while price holds above $75K is consistent with a short-squeeze/wall-of-worry setup rather than a bearish regime flip. The latest detail—$120M long liquidations after the dip and ~$365M bearish liquidations since Monday—helps explain why the Bitcoin funding rate remains negative without breaking support. Meanwhile, spot demand is reinforced by ~$921M net ETF inflows over five days and ongoing MicroStrategy accumulation, while options show no clear surge in downside hedging. For trading, this favors maintaining upside exposure or viewing dips as potential liquidation-driven opportunities, though failure to reclaim ~$76K and macro softness keep near-term volatility elevated. If Bitcoin funding rate begins moving toward less-negative and price stabilizes, the odds of consolidation with upward bias increase; a rapid funding normalization alongside a breakdown would be the key risk sign.