Cooling funding rates and declining open interest indicate deleveraging and position adjustment rather than fresh bullish momentum or capitulation selling.

"With Bitcoin price having been trapped in a consolidation between $66,300 and $58,550 over the last two months, any solid breakout from this level could result in a strong move. The continued buildup of Bitcoin OI, amid predominantly positive Funding Rates, could signal an imminent volatility spike."

"Funding rates spent much of the week between 0.10% and 0.22% before falling sharply to 0.048%. At the same time, open interest declined by 3.4% from Tuesday's peak. The combination of lower funding and falling open interest points to longs stepping back rather than capitulating into a meaningful downside trend."