Bitcoin Surges Towards $73K on US Treasury's Bond Buyback Move

The price of Bitcoin suddenly surged towards $73K earlier today after the US Treasury Department announced that it would be doubling the maximum size of liquidity-support buybacks for longer-dated government debt.

The move, which starts on September 9 and remains in place through November 4, aims to address increased stress in the bond market. The 30-year Treasury yield had touched 5.34% on Tuesday, its highest level since 2007, amid persistent inflation concerns and heavy government borrowing.

The announcement prompted a move in stocks, gold, and crypto, with all assets moving up as the dollar weakened. Lower bond yields can make non-yielding and riskier assets relatively more attractive, which is why Bitcoin's price jumped by roughly 6% earlier today.