Will Ethereum's Rise Continue: Analyst Highlights Short-Term Risks! - Coin Bulletin

CryptoQuant analyst ShayanBTC noted that the bullish momentum behind Ethereum's rise and the increasing funding rate levels in the futures market offer more growth potential before short-term risks.

According to data conveyed by CryptoQuant analyst 'ShayanBTC', Ethereum's ongoing rise has reignited optimism among investors. The price, surpassing significant resistance levels, has sparked discussions of a possible new all-time high by the end of the year.

However, it may be useful to take a closer look at the futures market, especially the funding rate data, to understand the emotions and potential short-term risks in the market.

Funding rate, an important metric reflecting investor sentiment in the futures market, has shown a significant increase in recent weeks. This increase indicates growing bullish momentum among investors and traders as the price of Ethereum rises.

However, rising funding rate levels still lag behind the levels that Ethereum reached, which were the all-time high (ATH) levels of $4,900.

This situation indicates an increasing bullish momentum in the market, yet it does not indicate an overheated situation.

Historically, sudden increases in funding rate are often seen before sudden market corrections or liquidation cascades, leading to periods of increased volatility.

However, current funding rate levels indicate that there is still room for further growth in terms of price and sentiment, and there is a possibility of further upward movement in the market before such a risk becomes critical.