When funding rates hit an extreme, the group chat starts shouting "Take the other side and eat the meat." I used to get itchy too, but now I pay more attention to whether it's an emotional market. Frankly, when the rate is ridiculously high, it's often not "certainty," but more like everyone huddling on the same side for warmth, and no one should pretend to be innocent when it gets squeezed.

Actually, what I do more often is to avoid the volatility first: lower leverage, keep some bullets for a comeback, even if I miss a small move. Especially recently, with stablecoin regulation, reserve audits, and de-pegging rumors being circulated repeatedly, when emotions tighten, it’s easy to trigger a chain reaction of panic selling. Anyway, at times like this, I’d rather earn less than get my position liquidated by a needle. The opposing side isn’t off-limits, but only if you can withstand it continuing to be extreme for longer.