Crypto funding rates plunge amid rising fears over Trump’s trade war
Key market indicators suggest that traders are exercising extreme caution in the crypto markets, as Trump’s tariffs spark widespread bearish sentiment.
The rapidly escalating trade war between the U.S. and most of its major trading partners is striking fear into traders. On Friday, April 4, funding rates on most centralized and decentralized exchanges dropped below the 0.005% threshold, a signal of extreme bearish sentiment.
At the same time, liquidation rates are down 42% over the past 24 hours. While this may seem like good news, it likely indicates that traders are hedging and staying on the sidelines. This aligns with a sharp decline in trading volumes, which dropped by 22.71% in 24 hours to $247.6 billion….
