Traders betting against SKR paid extreme continuous fees for nearly ten minutes straight, signaling an unusually crowded bearish market.
Imagine the token SKR is trading at around $0.03. Suddenly, a massive crowd of traders arrives all trying to bet that the price will crash lower.
For ten straight minutes, the price slipped from $0.0299 to $0.0288, while the fee demanded from traders betting on a decline held steady near -0.39% per hour.
In crypto markets, when too many traders crowd into the same bet, the exchange balances things by making the popular side pay a continuous cash fee called a funding rate directly to the minority side.
One alert is a brief moment, but ten alerts in ten minutes proves that sellers are desperate. They are willingly burning significant cash every hour just to keep their downward bets open.
Heavy selling pressure does not guarantee the price keeps falling. If the price ticks up, those sellers might panic and rush to close their bets all at once, triggering a violent spike upward.
Do not think that heavily negative fees mean guaranteed downside. Think of it as an overcrowded room where sellers are paying a costly tax just to hold the door.