The Starship SN5 rocket was powered by the company's Raptor engine and remained attached to the ground during the test.
Elon Musk, SpaceX founder and CEO, said in a tweet the company is set to conduct a 500-feet hop demonstration of the vehicle soon.
Starship's final iteration is designed to use six Raptor engines, stand at 50 meters high and carry up to 100 passengers, according to the report. Musk intends for the rocket to transport crew and cargo to low-Earth orbit.
The Federal Aviation Administration granted SpaceX a license in late May to perform suborbital missions with the prototype.