The $BTC aggregate funding rate has flipped negative. Let’s break down why leveraged longs are crushing any chance of a real recovery. Right now, shorts are actually getting paid to hold their positions open. Yes, you read that right. This is a classic case of retail overconfidence, where traders keep trying to buy the dip with massive leverage. They aggressively pile into long positions to catch the bounce, keeping futures prices persistently above spot, which creates a positive funding rate. Here’s the kicker. Market makers and institutions often accumulate spot positions and then sell into the market. This pushes spot prices down, while retail optimism artificially props up futures prices. The result? A brutal squeeze on overleveraged longs. These high-leverage longs are essentially pouring fuel on the fire. Until they stop pouring money in, the market will keep burning them. Stay sharp out there.