{"id":172878,"date":"2024-10-09T18:32:58","date_gmt":"2024-10-09T18:32:58","guid":{"rendered":"https:\/\/crypto-economy.com\/?p=172878"},"modified":"2024-10-09T18:33:02","modified_gmt":"2024-10-09T18:33:02","slug":"analysts-warn-crypto-market-faces-potential-downside-amid-high-futures-funding-rates","status":"publish","type":"post","link":"https:\/\/crypto-economy.com\/analysts-warn-crypto-market-faces-potential-downside-amid-high-futures-funding-rates\/","title":{"rendered":"Analysts Warn: Crypto Market Faces Potential Downside Amid High Futures Funding Rates"},"content":{"rendered":"<p style=\"text-align: justify\">TL;DR<\/p>\n<ul>\n<li style=\"text-align: justify\">Analysts from QCP Capital warn about the <strong>vulnerability of the crypto market<\/strong> to downward movements, due to the increase in funding rates for perpetual futures.<\/li>\n<li style=\"text-align: justify\">The increase in long positions and speculative activity in memecoins could <strong>increase the risk of unexpected corrections<\/strong> in a bullish trend environment.<\/li>\n<li style=\"text-align: justify\">Despite these warnings, QCP Capital maintains an <strong>optimistic medium- and long-term outlook for Bitcoin<\/strong>, recommending accumulation strategies.<\/li>\n<\/ul>\n<hr \/>\n<p style=\"text-align: justify\">Analysts from QCP Capital have issued a <strong><a href=\"https:\/\/t.me\/QCPbroadcast\/1337\" target=\"_blank\" rel=\"noopener\">warning<\/a> about the growing <a href=\"https:\/\/crypto-economy.com\/bear-market\/\" target=\"_blank\" rel=\"noopener\">vulnerability<\/a> of the crypto market to potential downward movements<\/strong>, given that funding rates for perpetual futures have experienced a strong increase.<!--more--><\/p>\n<p style=\"text-align: justify\">This phenomenon has been observed on platforms such as <strong>Deribit and Binance<\/strong>, suggesting that there is a <strong>reduction in short bets and an increase in long positions by operators<\/strong>. Activity in the <strong>memecoin market<\/strong> has also been noted as an indication of <strong>intense speculation<\/strong>, which could increase the risk of <strong>unexpected corrections<\/strong> in a market that has shown bullish trends.<\/p>\n<h2>The Crypto Market Could Suffer Unexpected Corrections<\/h2>\n<p style=\"text-align: justify\">Despite these concerns, analysts from QCP Capital maintain an <strong>optimistic medium- and long-term outlook for Bitcoin and other cryptocurrencies<\/strong>. They recommend that investors implement <strong><a href=\"https:\/\/crypto-economy.com\/buy-bitcoins\/\" target=\"_blank\" rel=\"noopener\">accumulation<\/a> strategies<\/strong> that allow them to gradually increase their positions, even amid short-term uncertainties. This recommendation is based on the expectation that <strong>any forced selling driven by excessive leverage could be temporary<\/strong> and, therefore, should not discourage investors.<\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone size-full wp-image-172879\" src=\"https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-fund-psot.jpg\" alt=\"market bitcoin post\" width=\"825\" height=\"300\" srcset=\"https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-fund-psot.jpg 825w, https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-fund-psot-300x109.jpg 300w, https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-fund-psot-768x279.jpg 768w\" sizes=\"(max-width: 825px) 100vw, 825px\" \/><\/p>\n<p style=\"text-align: justify\">The <strong>macroeconomic context<\/strong> also plays a crucial role in the current market dynamics. Reports on the <strong>Consumer Price Index (CPI) and the Producer Price Index (PPI)<\/strong> in the United States, which will be published this week, are potential <strong>sources of volatility<\/strong>.<\/p>\n<h3>An Additional Boost for Bitcoin<\/h3>\n<p style=\"text-align: justify\">The CPI report is expected to show a <strong>slowdown in inflation<\/strong>, driven by falling energy prices. This could provide an <strong>additional boost to Bitcoin&#8217;s<\/strong> <strong>price<\/strong>, which has already shown signs of stability in its funding rate, remaining mostly positive since the beginning of October.<\/p>\n<p><img decoding=\"async\" class=\"alignnone size-full wp-image-172880\" src=\"https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-cmc-post.jpg\" alt=\"bitcoin market post\" width=\"825\" height=\"461\" srcset=\"https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-cmc-post.jpg 825w, https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-cmc-post-300x168.jpg 300w, https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/10\/btc-cmc-post-768x429.jpg 768w\" sizes=\"(max-width: 825px) 100vw, 825px\" \/><\/p>\n<p style=\"text-align: justify\">Currently, <strong>Bitcoin<\/strong> has recorded a <strong>slight drop<\/strong> of approximately <strong>1.56%<\/strong> in the last 24 hours, hovering around<strong> $61,400.<\/strong> The total market capitalization of the crypto market stands at <strong>$2.15 trillion<\/strong>, reflecting a<strong> 1%<\/strong> decrease during the same period. The daily trading volume has remained around <strong>$63 billion<\/strong>, with Bitcoin dominating<strong> 56.7<\/strong>% of the market and Ethereum representing <strong>13.6%.<\/strong><\/p>\n<p style=\"text-align: justify\">\n","protected":false},"excerpt":{"rendered":"<p>TL;DR Analysts from QCP Capital warn about the vulnerability of the crypto market to downward movements, due to the increase in funding rates for perpetual futures. The increase in long positions and speculative activity in memecoins could increase the risk of unexpected corrections in a bullish trend environment. Despite these warnings, QCP Capital maintains an &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"Analysts Warn: Crypto Market Faces Potential Downside Amid High Futures Funding Rates\" class=\"read-more button\" href=\"https:\/\/crypto-economy.com\/analysts-warn-crypto-market-faces-potential-downside-amid-high-futures-funding-rates\/#more-172878\" aria-label=\"More on Analysts Warn: Crypto Market Faces Potential Downside Amid High Futures Funding Rates\">Read more<\/a><\/p>\n","protected":false},"author":34,"featured_media":172881,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9156,84,74],"tags":[4602,4620,5536,4656],"_links":{"self":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/172878"}],"collection":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/users\/34"}],"replies":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/comments?post=172878"}],"version-history":[{"count":1,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/172878\/revisions"}],"predecessor-version":[{"id":172882,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/172878\/revisions\/172882"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/media\/172881"}],"wp:attachment":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/media?parent=172878"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/categories?post=172878"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/tags?post=172878"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}