XRP extends slide amid negative funding and higher yields

Core highlights

• XRP continued its decline on Thursday following three straight losing sessions.
• CoinGlass data indicated negative funding rates for XRP, with long-to-short ratios presenting conflicting signals.
• News of planning for potential U.S. military action against Iran added another layer of uncertainty.

XRP stayed under selling pressure on Thursday, with deteriorating derivative metrics and challenging macroeconomic conditions curbing demand.

The cryptocurrency extended its downturn after three straight days of losses. XRP was trading at roughly $1.422, with its weekly loss exceeding 6%.

Bearish pressure in perpetual futures was signaled by negative funding rates, while higher U.S. Treasury yields, a stronger dollar, and geopolitical worries dampened overall market mood.

XRP derivatives data shows contrasting positions

CoinGlass recorded a long-to-short ratio of 0.88 for XRP on Thursday, pointing to a modest bias toward short positions in its monitored data.

Funding rates showed a more persistently negative picture. After turning negative on Wednesday, XRP's funding rate was -0.0022% as of Thursday.

A negative funding rate implies that short positions compensate long holders, which may signal increased appetite for bearish bets in perpetuals. Neither funding rates nor positioning metrics, however, determine the future price direction with certainty.

The U.S. Dollar Index settled near 102.24 on Thursday, following an intraday peak of 102.53 on Monday, which was its highest since early April 2025, per the report.

The U.S. 10-year Treasury yield stayed around 5.30% after briefly reaching roughly 5.35% on Monday, which was cited as a new two-decade high.

Rising yields boost the attractiveness of interest-paying instruments and may create a less favorable environment for speculative assets like XRP and XLM.

The minutes from the September 15-16 FOMC meeting revealed unanimous backing for an increase in the federal funds rate target range, according to the provided record.

Most policymakers also anticipated that a further hike would probably be suitable before the end of the year to combat ongoing inflation. This view amplified the strain coming from high yields and a robust dollar.

Iran strike reports heighten geopolitical risks

The report further mentioned readiness for possible fresh U.S. military action targeting Iran.

According to reports, the Pentagon directed U.S. Central Command to finalize preparations as President Donald Trump mulled the timing of any strikes.

These accounts depict possible moves instead of verifying that an attack has taken place. Still, ambiguity about a potential escalation might prompt risk-off positioning, boost dollar demand, and diminish interest in digital currencies.

XRP price outlook: $1.400 support comes under threat

Even with its weekly loss, XRP was still trading above its crucial daily exponential moving averages.

The 50-day EMA around $1.400 offers nearby support, with the 200-day EMA at $1.389 right behind. Underneath that group, the 100-day EMA is at $1.336.

Maintaining these levels would help retain some of XRP's positive technical framework. But momentum stayed subdued: the RSI was around 45, and the MACD remained negative.

A lasting fall below the nearby moving-average support zone would draw attention to $1.336 and the horizontal support at $1.300. The report points to $1.000 as a further downside target.

Looking higher, the analysis puts key resistance at $1.671. A decisive move above that level would open up the $1.900 area.