$BTC NEGATIVE FUNDING FLASHING: Is the Short Squeeze Setup Brewing? đ¨
Funding just printed around -0.006 â meaning shorts are actively paying longs while Bitcoin hovers near $68K. Thatâs not neutral positioning. Thatâs conviction.
When funding stays negative for days, it signals traders are leaning heavily bearish in perpetual futures. Theyâre paying a premium to bet on downside. And historically? Crowded trades donât unwind gently.
We already flushed toward $60K and bounced, yet funding remained negative. That tells you derivatives desks still arenât buying the rebound. But hereâs the twist â extended negative funding during sideways consolidation has often appeared during bottoming phases, not breakdown accelerations.
Macro isnât collapsing. Liquidity hasnât evaporated. Price is well off highs. Positioning is defensive.
Thatâs the kind of setup where upside moves inflict maximum pain.
Does it mean instant reversal? No. Bases take time. But when shorts are paying and price stops cascading lower â you watch closely.
Liquidity shifts â crowded trades unwind â BTC reprices fast.
Patience > panic.

