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Some alts have risen over 250% in the past 30 days, and the funding rate rise may indicate potential pullback risks.
gate News: According to Cointelegraph, some AltCoins such as HBAR, XLM, XRP, ALGO, and ADA have experienced a significant pump, with an increase of over 250% in the past 30 days. The funding rate for perpetual futures contracts has risen to between 4% and 6% per month. This situation reflects an increase in leverage usage, making the current price levels susceptible to significant pullback.
Although high funding rates may indicate optimism for AltCoins and further rise potential, they also increase the risk for traders, contrasting with the relatively moderate leverage observed in major Cryptocurrencies such as BTC and ETH.