The cryptocurrency market has gained momentum in the new year, with Dogecoin (DOGE) and XRP crypto showing significant growth.
Over the past week, XRP gained nearly 20%, while DOGE surged by 26%. Despite these gains, neutral funding rates suggest potential for sustained recovery.
DOGE, XRP Crypto Show Neutral Funding Rates
According to market data, XRP and DOGE funding rates have remained neutral as prices rallied. XRP crypto’s funding rate is 0.01%, and DOGE’s is 0.011%, indicating a cautionary tone from traders.
The rally is not fueled by excessive leverage but is suggested by these neutral rates for suggesting sustainability.
If an exchange’s funding rates are neutral, then there is little price divergence between perpetual contracts and spot markets.
Positive funding rates or negative rates can indicate bullish or bearish sentiment, respectively. The current market is balanced and hints at movement.
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Analysts also say traders bet against a rally, and a neutral rate could lead to a short squeeze. The scenario might give already overheated prices extra support.
Market watchers feel this setup could very well give another boost to DOGE and XRP crypto’s medium-term momentum.
XRP Super Trend Signals Strong Buying Momentum
The market trends and technical indicators indicate room for further growth of XRP and DOGE prices. On its 12-hour candle chart, XRP’s super trend indicator indicated it was beginning a period of potential buying.
The last time a 470% price surge popped was in late 2024. This indicator has been a significant price mover on various other trades throughout history.
Based on the current signal, analysts expect XRP crypto to hit $13.85 from its current price of around $2.43.
Besides, if XRP proceeds to reach that $500 billion market cap, its price could be speculated at around $8.7. These projections fit into the bullish trend that the market has shown.
However, analysts also foresee that Dogecoin could start growing again, as they give an average price target of $0.42 and $0.64.
It is based on Elliot Wave analysis, which is used to forecast trends of price movements. However, short-term corrections remain feasible, according to a TD Sequential sell signal on DOGE’s daily chart.
Analysts See Sustainable Growth for Major Cryptos
DOGE and XRP crypto are not alone in the exploitation of neutral funding rates. Although Bitcoin, Ethereum, and Solana are seeing some price increases, funding rates are positive.
The BTC funding rate is 0.009%, the ETH funding rate is 0.01%, and the SOL funding rate is 0.006%.
These neutral rate trends reflect a careful but hopeful attitude in the cryptocurrency market.
Healthier market conditions result from the absence of extreme leverage, which reduces risks of sharp reversals. Analysts say this is a sign that the broader market recovery has a positive outlook.
Traders, even though they are optimistic, watch for market shifts. Short squeezes or other dynamics might drive unexpected price movements.
However, with neutral funding rates presented, a foundation is laid for continued growth with low volatility.
Rallies of Dogecoin and XRP crypto and neutral funding rates point to a promising phase for these cryptocurrencies. Analysts say the rally is sustainable and predict more price surges.
