[Analysis] "Ethereum funding rates stabilize… Upside momentum ↑ if demand strengthens"

An analysis showed that Ethereum (ETH)'s funding rates (Funding Rates) have remained stable despite the recent price rebound.

ShayanMarkets, a CryptoQuant contributor, said on the 10th (local time), "Although Ethereum's price strongly rebounded from lows in the $28,000 range, funding rates still remain at low levels." ShayanMarkets said, "This shows that leveraged demand in the derivatives market has not yet fully materialized, and that this rebound was driven by spot buying rather than overheating in the futures market."

ShayanMarkets said demand for long (buy) positions is still lacking. ShayanMarkets analyzed, "The recent funding rate trend also means there is a lack of aggressive long demand for Ethereum to continue a trend-extension rally," adding, "For an upswing to unfold like past strong breakout periods, investors would need to engage in chase buying and funding rates would need to rise noticeably."

It also mentioned additional upside potential. ShayanMarkets said, "The current low funding rates indicate the market is in a recovery phase rather than overheated," adding, "If demand strengthens, there is ample upside potential, but it also means momentum could become vulnerable if downward pressure is applied at major resistance levels."

Meanwhile, as of 8:34 p.m. that day, Ethereum was trading at 3317.46 dollars on CoinMarketCap, up 6.81% from the previous day. Compared with a week earlier, it is about 8% higher.