As Bitcoin Enters Its Typically Sluggish Quarter, XRP, TRX, and DOGE Lead the Majors with Positive Funding Rates

Bullish Momentum Builds in Top Altcoins as XRP Leads With Highest Funding Rates

Perpetual funding rates suggest growing optimism for major altcoins, with XRP demonstrating the strongest appetite for leveraged long positions as Bitcoin begins the typically sluggish third quarter with little price movement.

Funding rates, which exchanges settle every eight hours on perpetual futures contracts (that have no expiration), represent the cost traders pay to maintain long or short positions. When rates are positive, it means longs pay shorts because futures prices are trading above spot prices, signaling bullish sentiment. Negative rates indicate the opposite.

Data from Velo shows XRP’s perpetual futures funding rate at nearly 11% annualized—the highest among the top ten cryptocurrencies by market capitalization. Following closely are Tron’s TRX at 10% and Dogecoin at 8.4%. Bitcoin and Ethereum funding rates remain mildly positive.

This data reflects XRP’s strong demand for leveraged bullish exposure, consistent with rising optimism despite regulatory delays surrounding Ripple’s ongoing settlement with the SEC, according to Santiment.

Among tokens outside the top ten, privacy-focused Monero (XMR) exhibits an even more pronounced bullish bias with a funding rate exceeding 23%. Meanwhile, Stellar’s XLM signals strong bearish sentiment with a funding rate around -24%.

Bitcoin’s Historically Weak Quarter Kicks Off

Historically, Bitcoin’s third quarter is a seasonally weaker period, averaging just a 5.57% gain since 2013, compared to an 85% average gain in the fourth quarter, per Coinglass.

Currently, Bitcoin trades flat near $107,000, confined within a $100,000 to $110,000 range for almost 50 days. This price consolidation reflects a tug-of-war between long-term holder selling and steady inflows into U.S. spot Bitcoin ETFs.

Market participants are eagerly awaiting Federal Reserve Chair Jerome Powell’s speech on Tuesday and the Friday nonfarm payroll data, which could trigger a significant market move.