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.
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.
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.
