Lately, I've been a bit fed up with watching the funding rates. When they reach extreme and ridiculous levels, I actually don't want to be "smart" and take the other side. To put it simply, extreme funding rates don't necessarily mean an immediate reversal; often it's a combination of emotions and leverage pushing the market, and trying to block the move hard can easily get you knocked out.

My own approach is more like choosing between two options: either take a small position to test the other side, provided I see the exchange inflows start to decrease, a few big wallets stop adding pressure, and the order book for chasing the rise or fall thins out; or simply avoid the volatility altogether, waiting until the funding rate returns to less extreme levels and the price stops stabbing like a dagger. Especially recently, with attention shifts driven by memes and celebrity calls, the last move is really easy to catch in your hands... I’d rather miss out than be the one "proving liquidity."

What I’ve learned isn’t a skill, but rather: when you see extremes, first think about how to survive, then think about how to make money.