I just checked the funding data on the major CEX and DEX, and things are getting interesting. With Bitcoin hovering around $77,000, funding rates have normalized quite a bit. You no longer see that strong bearish bias we had recently.

For those who don't know, the funding rate is basically the mechanism used by CEX to keep perpetual futures prices aligned with the actual asset price. It's an exchange of funds between those betting bullish and those betting bearish. When that rate is above 0.01%, the market is generally bullish. If it drops below 0.005%, it's a sign that the bearish sentiment is prevailing.

What’s happening now is that we see a notable recovery toward neutral rates on the major CEX and DEX. That suggests the market is finding more balance, less extremism in any direction. Fewer people betting that everything will collapse, so to speak. It’s an interesting sentiment shift to watch in the coming weeks.