Kaspa Funding Hits Extreme Levels, a Violent Move About to Hit $KAS Price

The Kaspa (KAS) price is down 2.10% to $0.0336 in 24 hours, moving weaker than the broader market as capital rotates away from altcoins.  The Altcoin Season Index dropped 11.43% in a day and 31.11% over the past month, showing a clear move out of higher-risk assets like KAS. 

Bitcoin only declined 0.95% in the same period, which puts Kaspa’s drop at over three times that pace. The Kaspa price fell below the 7-day moving average of $0.03458. It also broke under the $0.0345 level on higher volume, so sellers are clearly in control.

That means Kaspa now drops harder when market mood turns bad. For any quick bounce to happen, the price needs to get back above $0.0345.

Funding Rate Pressure on Kaspa

The 90-day cumulative funding rate has climbed to 32.93%, marking an extreme level. This means long traders have been paying short traders every month for three months straight. But even with that, the KAS price hasn’t gone up.

That tells us too many people are betting the same way and not getting the outcome they expected. When that kind of pressure piles up, it usually doesn’t stay stuck in place for long. It tends to resolve through a sharp move that forces positioning to reset. 

Given that the KAS price has not responded positively despite persistent long pressure, the risk of a downside move driven by liquidations remains elevated, though a fast upside squeeze cannot be ruled out.

Kaspa Roadmap Catalysts 

Crypto analyst Cade O’Neill shared several key developments that could shape Kaspa’s path over the coming phases.  The May 5, 2026 hard fork is the next big thing on the calendar. It could bring more eyes to the project. 

After that comes the DAGKnight upgrade, which should make the network faster and smoother. At the same time, a zk bridge and Layer 2 growth are meant to open up the ecosystem to more users.

The plan to handle 40 transactions per second, and later 100 transactions per second, shows the network is built to perform well for years to come. 

These developments strengthen the fundamental outlook, but their impact on the KAS price will depend heavily on overall market conditions and timing.

Here’s What Kaspa Chart Is Saying

The daily chart shows a sustained downtrend, with consistent lower highs and lower lows over several weeks. Each bounce has weakened, showing buyers have not regained control. The sharp wick toward $0.0097 marked a capitulation, followed by a slow move back into the $0.033–$0.034 range, where price has started to stall.

In the short term, the Kaspa price is compressing just above $0.033, with resistance near $0.0345 and a broader ceiling around $0.070. Price action remains tight with weak follow-through on bounces, showing low demand. 

This narrowing range points to a volatility squeeze, which often leads to a sharp move once direction is decided, especially with extreme funding in play.

The market indicators add more context to this setup.The MACD is flattening out and trying to creep up, but it doesn’t have much power behind it. The DMI shows sellers are still in charge, but the gap between sellers and buyers is getting smaller. That means sellers are running out of steam.

The ADX is low, which tells us there’s no clear trend right now. The market is just moving sideways. CCI is negative, hinting that the market is oversold and that buyers might bring about a short rally.

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KAS Price Prediction – What Comes Next?

With KAS at $0.03379, the setup is tight.

Bullish case:

If the KAS price reclaims $0.0345 and holds it, a move toward $0.040–$0.045 becomes possible. A squeeze driven by high funding could accelerate that move quickly.

Bearish case:

If $0.033 breaks cleanly, the next zone sits around $0.025–$0.020. That would align with a long liquidation event triggered by the funding imbalance.

Neutral case:

The Kaspa price may stay between $0.030 and $0.035 until a catalyst or market-wide shift provides direction.

Kaspa is positioned between strong network developments and weak market sentiment. The elevated funding rate shows heavy long positioning, while the KAS chart reflects fading strength and reduced trend clarity. 

This combination often leads to a decisive move once pressure releases. The reaction around the $0.0345 level, along with any shift in funding and response to upcoming developments, will likely determine the next direction.

Frequently Asked Questions

Why is Kaspa (KAS) price down

Kaspa is down 3.10% to $0.0336 in 24h mainly due to a sector-wide rotation out of altcoins, reflected in a sharp drop in the Altcoin Season Index. It’s also underperforming Bitcoin and has broken below short-term moving averages, adding extra pressure from a technical breakdown.

What does extreme funding rate mean for Kaspa (KAS)

Extreme funding means too many traders are positioned on the same side of the market, in this case, heavily long. When this happens, longs keep paying shorts, and the cost of holding those positions rises.