Key Highlights:
- Perpetual funding rates indicate a bullish sentiment for top altcoins, with XRP showing significant demand.
- Bitcoin’s price is steady, historically underperforming during the third quarter.
- Analysts are watching for potential market shifts, with crucial economic events approaching this week.
A critical metric known as perpetual funding rates is suggesting a bullish outlook for leading altcoins as Bitcoin initiates its traditionally weak third quarter with stagnant price movements.
Funding rates are fees charged by exchanges every eight hours, representing the cost to maintain bullish long or bearish short positions in perpetual futures, which have no expiration date.
As of now, the funding rates for the XRP token—currently valued at $2.2221, which ranks as the fourth largest digital asset—harness an annualized rate approaching 11%, leading among the top ten cryptocurrencies according to Velo data. TRX and DOGE follow with funding rates of 10% and 8.4% respectively, while Bitcoin and Ethereum’s rates hover slightly positive.
This indicates that XRP’s market exhibits the most robust demand for leveraged long positions compared to significant cryptocurrencies like Bitcoin and Ethereum.
Historically, Q3 is a challenging period for Bitcoin, averaging just a 5.57% increase since 2013. Currently, Bitcoin is stabilized around $107,000, lacking distinct directional movement, which reflects prolonged price confinement between $100,000 and $110,000 for almost 50 days.
Analysts anticipate notable market movements ahead, especially with Fed Chairman Jerome Powell’s forthcoming speech and Friday’s nonfarm payroll data release in focus.
