Bitcoin’s Next Big Move is Coming As Binance Funding Rates Signal Major Market Shift!
The Binance Bitcoin Financing Rate Indicator has become an important tool for analyzing Bitcoin market trends. According to Burak Kesmeci, verification analyst at CryptoQuant, Funding rates during review period The 2020-2021 bull market revealed patterns that could guide market behavior today. Let’s explore the key stages of past bull cycles and how they relate to the current market.
Phase One: July 2020 – The Calm Before the Storm
In mid-2020, Binance’s Bitcoin financing rate remained stable at 0.01 for several weeks. This period marked a lull in the market, followed by a surge in demand for Bitcoin.
The price quickly climbed from $9,000 to $12,000 and the financing rate surged to 0.10, indicating a bullish shift in market sentiment.
Phase 2: November 2020 – Rebound and Correction
As Bitcoin consolidated in the $12,000 range, the funding rate briefly turned negative before turning positive, reaching 0.08. The move was a precursor to Bitcoin’s climb to $19,000, showing how fluctuations in funding rates can align with market corrections and subsequent rallies.
Phase 3: December 2020 – Breaking through new highs
By December 16, 2020, Bitcoin broke through its previous highs and maintained a strong upward trajectory.
At this stage, the funding rate reached 0.17 and remained around 0.10 as Bitcoin price surged above $60,000. Continued high financing rates reflect strong market confidence and demand.
Current market situation
Currently, the Binance Bitcoin financing rate is 0.01, which is a typical level in the early stages of a bull market. Based on historical patterns, Burak Kesmeci believes the market may have completed the first two phases of the current bull cycle.
The next key indicator will be whether the funding rate crosses the 0.01 mark, signaling the possible start of phase three.
Why is this metric important?
The Binance Bitcoin Financing Rate Indicator provides valuable insights into market dynamics. at the price of bitcoin Current price is $104,405reflecting a single-day drop of nearly 2%, the indicator has become an important tool for understanding Bitcoin’s next potential move.
