2025-12-21 01:21:51

Seeing how exaggerated the funding rates have been recently, it's indeed quite tempting. Some traders are thinking about entering to profit from the rate difference, but the risks involved are often overlooked — high funding rates indicate extremely euphoric market sentiment, crowded long positions, and once the market adjusts, it's easy to get caught. The magic of perpetual contracts lies here: behind the seemingly profitable opportunities, liquidity can vanish in an instant. So, friends looking to exploit arbitrage should carefully consider their risk tolerance.

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Blockblind

· 12-21 05:14

High fees are indeed appealing, but those who enter are just cannon fodder, to be honest. The higher the fee, the greater the risk; those who don't understand this should go study the buy the dip papers. It's another dream of fee arbitrage, wake up, liquidity will backstab you. Contracts are just gambling on human nature, people are most greedy when fees are high. It's most dangerous when long positions are squeezed into a line; this lesson is expensive enough. If you want to eat the fees, first ask yourself how much drawdown you can withstand. Looking at three-digit funding rates makes me tempted too, but when I think back, I still decide against it. The biggest eyewash of perpetual contracts is that they seem to guarantee profits, but in fact, they are just waiting for you to get liquidated.

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RamenStacker

· 12-21 01:43

High fees just want to jump in and scoop? Brother, this move is too dangerous --- High fees = Longs are full, one misstep and it's over --- Exactly, liquidity can disappear in an instant, it's very deceptive --- This round of funding fees is indeed tempting, but I still held my ground --- Perpetual contracts are just a harvesting machine, long-term caution is necessary --- Entering when longs are crowded is a suicidal trade --- Snatching wool? I think I haven't even snatched the wool yet and got counter-killed --- I've seen liquidity exhaustion once, and I never dare to do it again

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GasWaster

· 12-21 01:38

High fees make you dare to gamble? Wake up, you're the next one to get liquidated.

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WagmiOrRekt