The XRP market experienced a rare short squeeze after surprising inflation data. Over $426,000 in short positions were liquidated, significantly impacting traders who had bet on a price decline. The sudden spike pushed XRP past the $3.00 mark, momentarily reaching $3.02 before retracing slightly. This unexpected surge was largely attributed to the release of U.S. inflation data that showed a lower-than-expected Producer Price Index (PPI). The PPI decreased month-on-month by 0.1%, with the yearly figure also dropping to 2.6% from 3.3%. This significant change in market sentiment surprised those who had been shorting XRP, leading to massive liquidations of those positions.