XRP Rises 51% on Yield Curve Control Speculation

The rally follows a larger U.S. Treasury bond buyback, which fueled speculation about interest rate caps and liquidity support. Shorts in XRP futures were heavily liquidated.

Key Takeaways

• XRP has risen 51% since Monday to $1.50 and is having its best week since November 2024.
• The U.S. Treasury announced a bond buyback, which fueled speculation about yield curve control and lower long-term rates.
• Nearly $2 billion in shorts was liquidated, further accelerating XRP's rise.

XRP is on track for its best week since November 2024. The price has risen 51% since Monday to $1.50 (€1.28), after an announcement from the U.S. Treasury Department fueled speculation about yield curve control, an aggressive form of monetary easing.

Treasury Moves the Market

The U.S. Treasury said it wants to buy back at least $4 billion (€3.4 billion) of its own long-term bonds between September 9 and November 4, spread across multiple sessions. That is twice the earlier limit of $2 billion (€1.7 billion). In practice, this is about managing liquidity in the world's biggest bond market, but the timing fed the idea that Washington wants to slow the rise in long-term rates.

Those rates climbed earlier this week to their highest level since 2007. That is unfavorable for a market with rising debt and often makes investors more cautious about risk. The hope that policymakers could eventually put a cap on long-term rates pushed not only XRP, but also other tokens higher.

Shorts Get Squeezed

XRP's rise came alongside a sharp unwind of bearish futures positions. According to Coinglass, nearly $2 billion (€1.7 billion) in shorts was liquidated this week. That helped speed up the move higher, while XRP had previously lagged behind the broader crypto market rally.

Bitcoin rose 22% this week, ether 30%, and Solana 28%. So XRP clearly outperformed the big names, even though the coin is still coming from far below. Since the all-time high of $3.66 (€3.13) on July 18, 2025, the price has still remained well below that level.

What This Means for XRP

For European crypto followers, this is mainly relevant because XRP is once again showing how strongly the coin can react to macro news out of the United States. The XRP Ledger, launched in 2012, is known for low transaction costs and fast settlement, but in the short term the price remains especially sensitive to sentiment, rate expectations, and positioning in the futures market.

The recent jump only recovers part of the steep bear market decline from the past year. That makes the move notable, but not proof that the broader trend has definitively reversed.