Crypto Prices Surge on US Treasury Move, Wipe Out Billions in Short Bets

A surprise rally in crypto markets has seen Bitcoin (BTC) jump to levels above $69,500 on Wednesday, wiping out over $1.23 billion in bets against it in just one hour.

The sudden surge also saw Ethereum (ETH) rise by 9% to $2,088, Solana (SOL) up 6.5%, and XRP (XRP) up 6.9%

The rally is attributed to a decision made by the US Treasury to double its buybacks of long-term government bonds to at least $4 billion per operation.

This move sent yields on long-term debt tumbling, making it cheaper for investors to borrow money and sparking a wave of buying in risk assets, including crypto.

Analysts are divided on the significance of the rally, with some arguing that the market is still far from its all-time highs, while others see this as a sign of a potential bull run.