Ethereum's recent correction to the $3K level has led to a cooling-off period in the futures market, sparking optimism for a potential bullish rebound. The funding rates metric, a reliable indicator of futures market sentiment, provides valuable insights into this trend.

Ethereum's consolidation above the $3K support has enabled bullish traders to re-enter the market. This is evidenced by an increase in funding rates, indicating more long positions are being opened. Such activity often reflects growing confidence among traders, anticipating a trend reversal.

The rise in funding rates suggests an influx of buyers, which, if maintained, could propel Ethereum towards the $4K resistance in the short to mid-term.