He was a grandson of Emperor Gaozu of Han and a son of Liu Fei, the Prince of Qi.
In 182 BC, Grand Empress Dowager Lü created him the Marquess of Dongmou and summoned him to the capital Chang'an to serve as an imperial guard commander.
After the destruction of the Lü Clan in 180 BC, Liu Xingju was initially promised the Principality of Liang for his role in the conspiracy by the new emperor, Emperor Wen (Liu Heng).
In summer 177 BC, when Emperor Wen was on a visit to his old Principality of Dai, Prince Xingju mistakenly thought that Emperor Wen was going to lead a military campaign against the Xiongnu, and therefore felt this was a suitable time to start his rebellion.
When Emperor Wen heard of Prince Xingju's rebellion, he ordered Chai Wu (柴武), the Marquess of Jipu, to lead an army against Jibei forces.