CryptoQuant Analyst: Bitcoin Funding Rate Shows Bullish Signal, Pessimism May Have Peaked

CryptoQuant analyst Darkfost stated that Bitcoin's funding rate is showing signals similar to those seen before the significant surges in September 2024 and December 2022, and that pessimistic sentiment has recently reached its peak. From March to May, Bitcoin experienced a correction of over 50%, with the accumulation of short positions pushing the funding rate into negative territory; subsequently, BTC rebounded to $82,000 in May. This signal is now reappearing, leaving room for a bullish recovery in the coming months. This indicator is converted into a monthly sentiment aggregation tool, which is more effective than the Fear and Greed Index.