Bitcoin has pulled the entire crypto market higher with its strongest weekly rally in roughly two years. Led by XRP and its gain of around 39 percent, the altcoin recovery widened out into the broad market.
The immediate trigger was technical. A short squeeze occurs when investors have bet on falling prices. If the price rises instead, they must close their short positions by force. Their buybacks consequently push the price up even further. Exactly this mechanism kicked in on Wednesday. Bitcoin jumped from around USD 64,000 to more than USD 69,000 within a single day. At the same time, short positions worth roughly USD 2.7 billion unwound worldwide. A comment by US President Donald Trump on the trading platform Hyperliquid delivered a second price driver. By Friday, Bitcoin briefly topped USD 79,000. XRP likewise climbed above USD 1.40, while the Hyperliquid token HYPE marked an all-time high near USD 78.
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A record short squeeze ignites Bitcoin's weekly rally
Wednesday's liquidation wave set a record. Within a single hour, short positions worth more than USD 1 billion unwound. Such cascades build because trading venues close leveraged positions automatically once the posted collateral no longer suffices. In total, roughly 92 percent of all losses fell on bets against rising prices. Long positions, by contrast, lost only around USD 255 million. That asymmetry shows how one-sidedly the market had positioned itself before the move.
The jump amounted to a daily gain of more than 7 percent. It was enough to lift Bitcoin out of a months-long trading range. A day later, the price topped USD 72,000 for the first time since May 2026. On Friday came the brief advance above USD 79,000. That gave Bitcoin its largest weekly gain in about two years. Depending on the measurement basis, that means since March 2023.
At the close of the week, Bitcoin traded at around USD 77,200. Its market capitalization therefore stands at USD 1.55 trillion. In total, the gain over seven days adds up to roughly 22.6 percent. The overall market moreover added around USD 280 billion in value, according to analyst estimates. That gain accrued in less than five trading days. However, part of the advance remains technically driven and correspondingly vulnerable to setbacks.
Trump's CFTC comment lifts Hyperliquid to an all-time high
On that same Wednesday, Trump stepped before the press at the White House. Executives from technology and finance stood at his side, along with the heads of several supervisory agencies. The president mentioned the trading platform Hyperliquid and the chairman of the CFTC, Michael Selig. That agency oversees derivatives and commodities trading in the US. It is thus the central authority for regulated crypto derivatives. The remark came in passing. In the markets, however, it took effect at once.
"I understand that Mike [Selig] is also working on bringing Hyperliquid into the United States in a fully compliant and legal manner." - Donald Trump, US President
The market reacted immediately. HYPE added around 17 percent within 24 hours as a result. Previously the platform lacked official access to the US market. A day later, the CFTC held its first Innovation Advisory Committee Meeting in Washington. The agenda also covered crypto assets, artificial intelligence and prediction markets.
On Friday morning, HYPE first reached an all-time high near USD 78. On a weekly basis, that amounted to a gain of around 37 percent. The record did not hold for long. On Saturday the token rose to USD 82.43, before settling at around USD 77. Over seven days, the gain now adds up to roughly 40 percent. Hyperliquid reaches a market capitalization of USD 17.16 billion.
XRP leads a broad-based altcoin recovery
XRP was the strongest performer of the reporting week. By Friday, the weekly gain added up to around 39 percent. The price also topped USD 1.40 for the first time in months. Over the weekend, the move continued. Ultimately, the seven-day reading through Saturday shows a gain of roughly 55.7 percent, at a price of USD 1.51. The difference between the two figures stems from the shifted measurement window. Specifically, the weekly reading ends on Friday, while the seven-day window runs to Saturday. XRP carries a market capitalization of USD 94.5 billion.
Other large cryptocurrencies likewise advanced sharply. Chainlink and Zcash each gained more than 30 percent during the reporting week. After the rally extended, Zcash even trades around 65 percent above the previous week's level. Solana and Cardano reached roughly 25 and 29 percent respectively over seven days. Bitcoin and Ethereum, by contrast, sat mid-field at 24 to 28 percent. Ethereum meanwhile stands at around 29.5 percent over seven days.
More telling than the size of the individual gains is their distribution. In the preceding weeks, price gains concentrated in single, idiosyncratic names. Analysts regard such narrow rallies as less durable. This time the move covered the whole sector. Analysts therefore read the breadth itself as a signal. Broad advances point to incoming capital rather than to one-off effects at individual assets. In addition, 24-hour trading volume rose to roughly five times the yearly low of the previous weekend.
