A $3.3 billion crypto short squeeze, triggered by U.S. Treasury bond buybacks, propelled XRP to a $77.47 billion valuation.
XRP jumped 20.7% to $1.24 in 24 hours, its largest move since February, after $3.3 billion in crypto short positions were liquidated. The rally pushed XRP past USDC into fifth place by market value, now worth $77.47 billion—$5.20 billion more than its rival.
The surge followed the U.S. Treasury’s announcement to double bond buyback operations to at least $4 billion per auction, starting September 9. The move came after the 30-year Treasury yield hit a 17-year high of 5.34%, prompting a shift from risk assets like crypto into bonds. Yields fell to 5.196% post-announcement, while the dollar weakened to a three-month low.
XRP had traded as low as $0.9877 three days prior, with no technical signals for the rally. The Treasury’s policy shift, rather than crypto-specific news, drove the move.