When funding rates hit an extreme, I tend to get itchy and want to take the opposite side to prove I "understand the market"... But after practicing for a while, I realize that more often, it's about practicing how to fight against emotions. To put it simply, extreme rates don't mean an immediate reversal; it's just that everyone piling on the same side makes it more uncomfortable.

My current approach is rather boring: either small positions, trying different entries in batches to stand on the opposite side (able to withstand being squeezed further), or simply avoiding volatility and waiting until the funding rate returns to a normal range. Especially recently, on-chain data tools and tagging systems have been criticized for lagging or being easily misled, so I’m even less inclined to use "seeing certain whales" as a reason to enter the market... Anyway, my main job is still monitoring validator node uptime and risk control; I prefer to take it slow in trading, focusing on making sure I don’t get kicked out as a basic skill.