Following a US Securities and Exchange Commission (SEC) ruling clearing Ripple’s XRP offering, the cryptocurrency surged to $2.59 on March 19. However, gains were cut as XRP dropped 22%, reaching $2.02 by March 31. This decline has spurred investor worry about further price drops. XRP perpetual futures indicate strong bearish bets for leveraged short positions. The current funding rate of -0.14% per eight hours suggests that bearish traders are paying for leverage, reflecting waning investor confidence in the cryptocurrency. However, this sentiment may be a limited reflection, as margin market demand provides further insight into the direction of XRP’s price movement. In contrast to derivative contracts, margin markets allow traders to borrow stablecoins or XRP itself to open short positions, anticipating a price drop. The XRP long-to-short ratio at OKX stands at 2x in favor of longs, near its lowest level in over six months and signaling bearish sentiment.