According to CoinGlass data, on June 4, Ethereum’s network-wide 8-hour average funding rate was 0.0028%, close to a neutral level. ChainCatcher data shows that Ethereum open interest fell by 5.06% over the past 24 hours. Funding rate differences across exchanges are significant: Bybit is -0.0013%, and Gate is 0.0052%.
8-hour funding rates by exchange (June 4, 2026)
Bybit: -0.0013% (ChainCatcher data)
OKX: 0.003%
Binance: 0.0047%
Gate: 0.0052%
Network average: 0.0028% (CoinGlass data)
Bybit’s negative funding rate versus other exchanges’ positive funding rates forms what CoinGlass calls the “cross-exchange discrepancy.” CoinGlass says this kind of discrepancy may create arbitrage or cross-exchange opportunities.
How perpetual contract funding rates work
Perpetual futures contracts have no expiration date. Exchanges maintain alignment between contract prices and spot prices by paying funding every 8 hours: when the funding rate is positive, longs pay shorts; when it is negative, shorts pay longs. According to CoinMarketCap terminology, this setup “encourages people to build positions on the less favored side, thereby pulling the price closer to the spot price.”
Bitget data also shows that at roughly a 0.0035% funding-rate level, the market is slightly tilted toward longs; the current 0.0028% level is closer to long/short equilibrium.
Open interest data: the backdrop of a 5.06% drop
ChainCatcher data shows that Ethereum open interest declined by 5.06% over the past 24 hours. CoinEx Academy explains that the funding rate is “a proxy indicator of market sentiment and position distribution, not an independent pricing prediction indicator,” and notes that in a strong uptrend, an actively positive funding rate can persist for weeks without triggering a reversal.
According to CoinGlass’ analytical framework, when the funding rate is near zero and open interest declines in tandem, it typically indicates existing positions are being closed, rather than new positions being opened.
FAQ
What does Ethereum’s 0.0028% funding rate mean for the cost of holding leveraged positions?
Based on an 8-hour funding rate of 0.0028%, the daily rate is about 0.0084%, and the annualized rate is about 3%. This means the annualized cost of holding an Ethereum leveraged long position is currently around 3%, which is relatively low.
What does it mean that Bybit has a negative funding rate?
Bybit’s -0.0013% funding rate indicates that there are more short positions than long positions on the platform, and shorts pay funding to longs. CoinGlass refers to the gap between this and other exchanges’ positive funding rates as the “cross-exchange discrepancy,” suggesting that market sentiment is not aligned across exchanges and that cross-exchange arbitrage opportunities may arise.
What does Ethereum open interest declining 5.06% over 24 hours indicate?
ChainCatcher data confirms that Ethereum open interest contracted by 5.06% within 24 hours. Under CoinGlass’ analytical framework, the decline in open interest combined with a funding rate near zero typically indicates that existing positions are being closed rather than new directional positions being established.
