The funding fee is burning so fiercely, how much longer can the bulls hold on?

Murphy pointed out that the current perpetual contract funding rate is about $390k per hour, far above the 7-day average of $220k, indicating high long costs and market bullish sentiment; if the price struggles to rebound, some longs may be forced to close their positions. Open interest is decreasing, and liquidation and deleveraging are ongoing; if the price falls below a key support level again, it could trigger a chain of liquidations and long squeezes. Overall, the risk of downward squeeze is greater than upward short covering; spot demand and on-chain activity are relatively low, so leverage trading should be approached with caution. For those dollar-cost averaging into spot or gradually building long-term positions, maintaining the current strategy is advisable.