timdaub
@timdaub.eth
right: ETH, left: memecoin Memecoins aren't leveraged ETH for the simple reason that they're not holding ETH's price level. DEGEN has been headed down further, while ETH hasn't. It seems they do amplify directional momentum though. E.g DEGEN went up quite significantly with the 20% ETH ETF pump on May 20th. Still, wouldn't have holding literal leveraged ETH performed better over the last 3m here?
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jtgi
@jtgi
For a while most of my holdings were ETH, BTC leveraged at 2x. Was doing perpetuals but you have to watch for fees, aka funding rate. Can get expensive under volatility (e.g. 40% annualized on dydx)
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timdaub
@timdaub.eth
wow 40% is nuts. Why is that so high? One would think that this can be achieved at much lower rates, or not? Borrowing ETH on Aave is at 2% annually atm
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jtgi
@jtgi
its complicated: https://help.dydx.exchange/en/articles/4797443-perpetual-funding-rate when eth was rocketing up to 4k it hit 40%, its normally around 1-5% annualized.
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