The altcoin market has faced substantial challenges in recent months, with numerous cryptocurrencies like XRP, BNB, and Solana experiencing significant declines. Recent data from TradingView indicates that the TOTAL3 index, which reflects the market capitalization of all cryptocurrencies excluding Bitcoin, Ethereum, and stablecoins, has seen a decrease exceeding $544 billion during this bearish phase.
However, experts suggest that market dynamics may be shifting. Since early February, there has been a noticeable reallocation of capital, and the TOTAL3 market cap has rebounded by approximately $125 billion. Notably, XRP has emerged as an altcoin worth monitoring amid this evolving market landscape.
Could XRP Reach $3.12 by 2026?
In a recent analysis on the CryptoQuant platform, crypto analyst Darkfost discussed the prevailing trends affecting XRP. Despite some positive indicators, a considerable number of investors appear to be positioning themselves against the altcoin market. This sentiment is evident in the XRP Funding Rates, which are experiencing their most prolonged negative streak in several years.
The Funding Rates serve as a key metric that indicates the fee exchanged between traders in the derivatives market. A negative funding rate reflects a market where short sellers dominate, indicating an overall bearish outlook on the cryptocurrency’s price.
According to Darkfost:
The funding rates are aggregated over a 30-day period to better understand the sentiment prevailing among those trading derivatives.
Darkfost noted that the XRP Funding Rates on Binance, the largest cryptocurrency exchange by trading volume, have remained in the negative for the past three months. This trend persists even though XRP’s price has risen by more than 27% during the same timeframe.
Insights from on-chain analytics suggest that this kind of pattern, following a sharp correction such as the 50% decline seen in the first quarter of 2026, may hint at a potential reversal in XRP’s fortunes. Darkfost observed that similar situations have occurred before; for instance, in April 2025, XRP’s price fell to approximately $1.95 before a recovery led to a 126% rally.
If historical patterns are indicative, this current funding rate setup could pave the way for XRP to more than double in the upcoming months, potentially allowing it to revisit the $3.12 mark.
XRP Price Overview
As of the latest updates, the price of XRP stands at approximately $1.42, showing minimal change over the previous 24 hours. According to TradingView data, the cryptocurrency has increased by more than 2% over the last week.
