If this is the case, should i avoid that particular pairs from arbitraging?
And the best practice to start running this arbitrage bot is by having a bull trend, right?
Funding fee is the number you want to search, funding fee represents the condition between the futures price and the index price. You can try to find pair with quite stable positive funding fee and avoid the pairs which has quite a lot negative funding fee.
Funding fee history data is available, you can check out how many times the funding fee positive and negative in one pair by analyzing the funding fee history data.
Yes, bull trend usually provides very high funding fee rates in crypto market. But even so, it is not always been like that. Occasionally , funding fee will reset back to 0 or negative if the market is exhausted. You need to learn the pattern of these funding fee volatility to make the best choice of what pair and when to start the arbitrage bot