Bitcoin Soars Past $80,000 for First Time Since May Amid Improved Market Sentiment

Bitcoin's price has surged past $80,000 for the first time since May, rising more than 25% in the last week. According to Coinmarketcap data, BTC reached a high of $81,235 on Tuesday, August 25, driven by improved market sentiment and growing optimism over crypto-friendly policies.

The White House's push for supportive crypto policy has triggered short liquidations, adding momentum to Bitcoin's rally. Macroeconomic developments, easing bond yields, and a short squeeze also contributed to the sharp up move in Bitcoin's price.

Market analysts are cautious about the sustainability of this rally, warning that sharp price movements can bring elevated volatility and short-term profit-taking. Investors should consider factors such as risk appetite, position sizing, and investment horizon before making decisions, said Vikas Gupta, Country Manager, India at Bybit.