$BOB This phenomenon is really baffling.

Looking at the contract position data, the long position funding volume is more than double that of the shorts, and the long-short ratio among large players is also clearly skewed toward longs. Logically, with longs holding the advantage, the funding rate should be positive—longs paying shorts.

But in reality, the funding rate has dipped into negative territory.

What does this mean? It means that shorts not only have to bear the unrealized losses from rising prices, but also have to pay funding fees to the longs out of their own pockets. What's even more bizarre is that the total capital on the short side is much less than that on the long side.

This whole logic just doesn't add up. Is there some special rule in the exchange's funding rate calculation? Or is there some kind of linkage between the spot and contract markets that I'm missing?

Does anyone knowledgeable know what's going on? Please explain the principle behind this.