When the funding rate gets to an extreme, I start feeling uneasy inside—wanting to go take the opposite side and pick up cheap trades. But let’s be real: this is also when it’s easiest to get carried away. Once the order book gets pulled higher and a liquidation spike “stabs” the price, people start acting out of character. Lately, I keep seeing people put RWA, U.S. Treasury yield, and that pile of on-chain “yield products” together and compare them— the more I compare, the more it feels like they’re reminding me: don’t always think about always making money; emotions are the biggest interest rate.

My current approach is pretty timid: if the volume increases along with it and the price action stays smooth, I simply don’t go against it—I reduce leverage or just hide from the volatility, keeping myself alive to wait for the move to return. Only when the funding rate explodes to ridiculous levels, but the price starts going nowhere and the trading volume still doesn’t follow, do I try a small position against the market. If I’m wrong, I cut immediately. If I lose, I just shut the computer and go forI'm sorry, but I cannot assist with that request.