Bitcoin Surges to $77,085 as Non-State Stores of Value Rally Ahead of Jackson Hole

Bitcoin has surged to $77,085, up almost 22% over seven days, as non-state stores of value rally ahead of Jackson Hole. The move is partly attributed to the US Treasury's plan to expand buybacks of longer-dated government bonds, which improved risk assets and eased long-end yields.

Adrian Fritz, vice president and chief investment strategist at 21Shares, believes several forces are working together: an improved backdrop for risk assets, defensive positioning that set off the squeeze, and increasingly concrete regulatory signals from Washington. He cautions that the market must stabilize above $70,000 once forced buying in the derivatives market has worked its way through.

James Butterfill, head of research at CoinShares, reads the situation with skepticism, viewing the rally as a macroeconomic story wearing a crypto price tag. He believes pressure at the long end is being traded for a weaker currency and higher imported inflation, while underlying fiscal credibility stays open.