XRP Short Bias Persists Amid Ripple Legal Hopes, DOGE Nears Death Cross as BTC Dominance Hits 4-Year High
By Omkar Godbole | Edited by Parikshit Mishra
Updated Mar 13, 2025, 6:46 a.m. UTC | Published Mar 13, 2025, 6:34 a.m. UTC
The cryptocurrency market has shown signs of stability, but traders remain cautious about altcoins like XRP. Meanwhile, Bitcoin (BTC) continues to dominate as investors rotate capital from alternative tokens into the market leader.
Key Takeaways:
- XRP’s funding rates and cumulative volume delta indicate persistent short bias despite a recent price bounce.
- Dogecoin (DOGE) is nearing a “death cross,” a technical pattern with a mixed track record in predicting future price movements.
- Bitcoin’s dominance has surged to a four-year high as traders move away from altcoins.
XRP Market Sentiment and Legal Developments
XRP, the payments-focused token utilized by Ripple for cross-border transactions, has gained over 3% in the last 24 hours, reaching $2.24. This price increase is largely driven by optimism surrounding the ongoing legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC), which many hope will reach a resolution soon.
Despite this price rise, data from Velo shows that open interest in XRP perpetual futures across major exchanges remains stable at approximately 1.35 billion XRP. However, annualized funding rates and cumulative volume delta remain negative.
Negative funding rates indicate that traders holding short positions are paying fees to their counterparts to maintain bearish bets. Additionally, the negative cumulative volume delta suggests that selling pressure outweighs buying interest, potentially signaling a continuation of bearish momentum.
This trend extends to several other large-cap cryptocurrencies, including DOGE, SOL, SUI, HBAR, LTC, BTC, TRX, and HYPE, all of which exhibit negative cumulative volume delta over the past 24 hours.
DOGE Approaches Death Cross
Dogecoin is nearing a technical pattern known as the “death cross,” where its 50-day simple moving average (SMA) is set to cross below its 200-day SMA. This crossover is often interpreted as a bearish signal, suggesting that short-term momentum is weakening relative to long-term trends.
These SMA crossovers are widely monitored by trend traders, meaning confirmation of the death cross could trigger additional selling pressure. However, long-term moving average crossovers tend to be lagging indicators, reflecting past market movements rather than predicting future trends with certainty.
Since peaking at over $0.48 in December, DOGE has already declined by 65%.
Bitcoin’s Market Dominance Reaches 4-Year High
Bitcoin’s dominance rate—its share of the total cryptocurrency market capitalization—has climbed to 62.5%, the highest level since March 2021, according to TradingView data.
This marks a notable increase from 55% to over 62% since the total crypto market capitalization peaked above $3.6 trillion in December. The trend highlights a growing preference among investors for Bitcoin over altcoins amid ongoing market uncertainties.
this marks a notable increase from 55% to over 62% since the total crypto market capitalization peaked above $3.6 trillion in December. The trend highlights a growing preference among investors for Bitcoin over altcoins amid ongoing market uncertainties.
Furthermore, the surge in BTC dominance suggests a flight to safety among investors. Market participants may be prioritizing BTC as a store of value over riskier, more volatile assets. Institutional inflows into Bitcoin have also increased, driven by macroeconomic concerns and regulatory clarity in key markets.
XRP Short Bias Persists Amid Ripple Legal Hopes, DOGE Nears Death Cross as BTC Dominance Hits 4-Year High
By Omkar Godbole | Edited by Parikshit Mishra
Updated Mar 13, 2025, 6:46 a.m. UTC | Published Mar 13, 2025, 6:34 a.m. UTC
The cryptocurrency market has shown signs of stability, but traders remain cautious about altcoins like XRP. Meanwhile, Bitcoin (BTC) continues to dominate as investors rotate capital from alternative tokens into the market leader.
Key Takeaways:
- XRP’s funding rates and cumulative volume delta indicate persistent short bias despite a recent price bounce.
- Dogecoin (DOGE) is nearing a “death cross,” a technical pattern with a mixed track record in predicting future price movements.
- Bitcoin’s dominance has surged to a four-year high as traders move away from altcoins.
XRP Market Sentiment and Legal Developments
XRP, the payments-focused token utilized by Ripple for cross-border transactions, has gained over 3% in the last 24 hours, reaching $2.24. This price increase is largely driven by optimism surrounding the ongoing legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC), which many hope will reach a resolution soon.
Despite this price rise, data from Velo shows that open interest in XRP perpetual futures across major exchanges remains stable at approximately 1.35 billion XRP. However, annualized funding rates and cumulative volume delta remain negative.
Negative funding rates indicate that traders holding short positions are paying fees to their counterparts to maintain bearish bets. Additionally, the negative cumulative volume delta suggests that selling pressure outweighs buying interest, potentially signaling a continuation of bearish momentum.
This trend extends to several other large-cap cryptocurrencies, including DOGE, SOL, SUI, HBAR, LTC, BTC, TRX, and HYPE, all of which exhibit negative cumulative volume delta over the past 24 hours.
Moreover, XRP’s historical performance suggests that legal developments significantly influence its price action. If Ripple secures a favorable outcome in its case against the SEC, it could lead to a substantial price surge. Conversely, an adverse ruling might trigger further declines, reinforcing the prevailing bearish sentiment.
DOGE Approaches Death Cross
Dogecoin is nearing a technical pattern known as the “death cross,” where its 50-day simple moving average (SMA) is set to cross below its 200-day SMA. This crossover is often interpreted as a bearish signal, suggesting that short-term momentum is weakening relative to long-term trends.
These SMA crossovers are widely monitored by trend traders, meaning confirmation of the death cross could trigger additional selling pressure. However, long-term moving average crossovers tend to be lagging indicators, reflecting past market movements rather than predicting future trends with certainty.
Since peaking at over $0.48 in December, DOGE has already declined by 65%.
Notably, DOGE’s on-chain metrics reveal declining active addresses and transaction volumes, further reinforcing bearish sentiment. Additionally, the meme coin’s correlation with BTC has weakened, suggesting it is not benefiting from Bitcoin’s recent surge.
Bitcoin’s Market Dominance Reaches 4-Year High
Bitcoin’s dominance rate—its share of the total cryptocurrency market capitalization—has climbed to 62.5%, the highest level since March 2021, according to TradingView data.
Conclusion
While XRP’s price has risen due to legal optimism, bearish sentiment persists in the derivatives market. DOGE faces technical headwinds as it nears a death cross, while Bitcoin continues to assert its dominance. Investors should remain vigilant as market conditions evolve, particularly in response to legal and macroeconomic developments that could impact the broader crypto landscape.
