XRP Has Best Week Since 2024 Election on BTC Short Squeeze
XRP logged its strongest weekly gain since the 2024 U.S. election after a Bitcoin short squeeze pushed prices and volumes higher across major exchanges this week.
XRP posted its strongest weekly gain since the 2024 U.S. election after a rapid short squeeze in Bitcoin pushed prices higher across major exchanges this week.
Leverage-driven buying in Bitcoin forced traders holding short positions to cover, triggering liquidations that lifted BTC. The price surge in Bitcoin led traders to rotate into large, liquid altcoins including XRP. On several major exchanges, XRP’s price rose steadily and trading volumes increased compared with the previous week.
The short squeeze unfolded when a quick run-up in Bitcoin prices triggered concentrated short-position liquidations. Those forced buy orders amplified upward momentum and prompted momentum-focused traders to add exposure to other liquid tokens. Market metrics recorded a decline in short interest and a rise in exchange inflows for XRP during the peak of the move.
“Short covering in Bitcoin created a cascade effect across spot markets,” the remark came from a market strategist at a digital-asset fund.
Exchange data showed heightened order-book activity for XRP, with the token briefly reclaiming price levels last seen during the 2024 election-related surge. Market participants reported contributions from institutional desks and retail traders. The spread between XRP’s bid and ask tightened as liquidity providers met increased order flow.
Analysts pointed to XRP’s market structure as a factor in its quick response: it remains among the most traded and liquid tokens, and its price movements have often tracked broader crypto market sentiment during strong directional moves in Bitcoin.
XRP was created by Ripple and is used by some firms for cross-border payments and liquidity services. The token rallied after the 2024 U.S. election amid a reassessment of regulatory and macroeconomic factors. Since then, XRP has moved on sector-wide flows and token-specific developments.
Market watchers warned that short squeezes can produce sharp, short-lived gains and increase volatility as speculative positions are opened and later closed. Traders and institutional investors are monitoring forthcoming market indicators and macro events to assess whether recent gains will persist.
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