XRP Negative Funding Continues, Crashes To Levels Not Seen Since 2022

XRP Negative Funding Continues, Crashes To Levels Not Seen Since 2022

Source: NewsBTC

Published:10:30 UTC

BTC Price:$70217.2

#xrp #crypto #trading

Analysis

Price Impact

Med

While negative funding rates historically have preceded both rallies and crashes for xrp, the current low open interest and trading volume suggest a lack of broad market participation which could dampen the magnitude of any potential price movement.

Trustworthiness

High

The analysis is based on observable data like funding rates, open interest, and trading volume, and references historical patterns. the source's editorial policy emphasizes accuracy and impartiality.

Price Direction

Bullish

Historically, prolonged periods of negative funding rates for xrp have been followed by significant price rallies, potentially indicating a market bottom and an opportunity for a bounce as more traders are in short positions.

Time Effect

Short

The article discusses recent trends over the last 39 days and compares them to specific periods in 2025 and 2022, suggesting a short-to-medium term impact if historical patterns repeat.

Original Article:

Article Content:

Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. The XRP funding rate has been on the decline after the price hit its 2025 peak above 2025, and this trend has continued into the new year. Between February and March 2026, the XRP funding rate spent most of the time in the negative , and this speaks to how investors are currently viewing the cryptocurrency. Analyst Cryptoinsightuk points this out in a recent X post, alluding to what this could mean for the digital asset going forward. XRP Funding Rate Hasn’t Been This Low Since 2022 Cryptoinsightuk’s post highlights the interesting XRP trend, showing that in the last 39 days, 31 of those days have been spent with negative funding rates. This means that only a few days out of the month of February saw a funding rate in the positive. And now, the month of March seems to be following the same trend. Related Reading Bitcoin Is Repeating 2022 Playbook That Triggered Crash To $17,500 1 day ago The post also includes the other times that the altcoin has seen a trend like this and what eventually happened. The most recent of these was back in 2025, when the funding rate spent the better part of the months of March and April in the negative. However, what followed was a massive XRP price rally , eventually leading to levels not seen since 2018. While this did not lead the XRP price to new all-time highs, it pushed it to new yearly peaks, a rally that took investors by surprise. Moving further back, the crypto analyst points out that another period when a similar trend had been seen was back in 2022. This came with the crash of the FTX crypto exchange as the market buckled under negative news. Eventually, though, this trend would mark the bottom for XRP, and the price began to rise in the following year. Source: X Related Reading Dogecoin Remains Inside Falling Channel, Bulls Target Surge Above $0.1 2 days ago Going by the previous performances, it is possible that the same trend could mark a bottom here once again. If this happens, then it will not be long until the XRP price begins to rise again. Additionally, such low funding rates suggest that more traders are short, making it a good time for a bounce. According to data from Coinglass, the funding rate is not the only metric that has suffered. The XRP open interest has also taken a nosedive since 2025, showing that traders are not participating in the market as much as they used to. Daily trading volume has also suffered , dropping from a peak of $78.85 billion at the tail end of 2024 to below $4 billion at the time of this report. Price struggles against bearish sell-offs | Source: XRPUSDT on Tradingview.com Featured image from Dall.E, chart from TradingView.com