XRP Faces Continued Pressure Amid Negative Funding Rates and Geopolitical Concerns

XRP has experienced a significant decline, extending its losses for a fourth consecutive day, with its price hovering around $1.422, marking a weekly decline of over 6%. The downturn is attributed to negative funding rates in perpetual futures and rising U.S. Treasury yields, which have created a challenging environment for buying interest in the cryptocurrency.

According to CoinGlass, XRP's long-to-short ratio was recorded at 0.88, indicating a slight inclination towards short positions. The funding rates have also been consistently negative, with XRP's rate dropping to -0.0022% on Thursday. This negative funding suggests that shorts are paying longs, reflecting a stronger demand for bearish positions.

Adding to the market's unease are geopolitical tensions, particularly reports of potential U.S. military actions against Iran. These developments have contributed to a defensive market posture, further diminishing appetite for cryptocurrencies like XRP.

Despite the ongoing decline, XRP remains above key daily exponential moving averages, with immediate support at the 50-day EMA near $1.400. However, momentum indicators show weakness, with the RSI around 45 and the MACD below zero. A sustained break below these support levels could lead to further declines, with potential targets at $1.336 and $1.300.