Traders betting against ACE are paying massive fees just to keep their bets active. Ten consecutive alerts in nine minutes show an increasingly one-sided market as price hovers near eighteen cents.
Imagine ACE is trading at about eighteen cents. Suddenly, a wave of traders rushes in to bet that the price will crash, creating an extreme imbalance between buyers and sellers.
Between 13:39 and 13:48 UTC, ten consecutive alerts fired. The fee charged to sellers grew from negative 0.57% to past negative 0.58%, while the price slipped slightly from $0.1826 to $0.1800.
To keep these betting markets balanced, the exchange uses a periodic fee called the funding rate. When it turns deeply negative, traders betting on a drop must pay cash directly to traders betting on a rise.
Think of an overcrowded side of a boat. To stop it from tipping over, everyone standing on that heavy side must pay a continuous toll to the few people willing to stand on the lighter side.
A single alert could be a momentary spike. Ten alerts in nine minutes show persistent, intense pressure where sellers are willing to pay huge fees rather than close their positions.