How to read greed before the crash

Hey,

everyone talks about timing the market.
But few people know where to look when it matters most.

Here’s one of the most powerful (and free) tools I use every week:

Funding Rate Heatmap

What it is:
Funding tells you how the majority is positioned in futures markets.
It’s the fee traders pay to stay in their position.

• Positive funding (green, yellow to orange) = longs pay shorts → crowd is greedy

• Negative funding (blue to purple) = shorts pay longs → crowd is fearful

Now here’s the key:

Funding doesn’t lie.

When everyone is long — the market is vulnerable.
When everyone is scared — opportunity is near.

Real Example: Nov/Dec 2024

Funding exploded across almost every altcoin.
The heatmap turned bright orange.
Retail was all-in.
And a few days later — we got a major correction.

That was the moment to take chips off the table.

You can find the indicator here: https://www.coinglass.com/FundingRateHeatMap

Pro tip:

Don’t use funding alone — pair it with other tools like RSI, key resistance zones, and sentiment shifts.
But when it lines up… it’s deadly accurate.

If you’ve been following Velaris, you know this is what we do:

We prepare.
We set levels.
We understand what the market is telling us — not what influencers say.

Stay sharp,
Don Diego
Founder, Velaris Trading