When the funding rate hits an extreme, my first reaction isn't "Should I rush in," but rather to see if I can withstand that tail end. Frankly, when the rate is outrageously high, taking the other side of the trade can indeed be profitable, but you have to assume the market can get even crazier and last longer, and a large position makes you vulnerable to volatility education. I usually choose two approaches: either small positions on the other side with strict stop-losses, profiting from emotional mean reversion; or simply stay away, only trading spot/low leverage, keeping enough collateral, and waiting for volatility to clear out the leveraged players. Recently, there's been talk about tax hikes and tighter regulations, which change deposit and withdrawal expectations, causing sentiment to suddenly shift, and rates become more prone to distortion... If you really want to "stand on the other side," at least run through the worst-case scenario in your mind first, and don't rely on luck as risk control.