Ethereum Breaks Two-Month High as Treasury Boosts Buyback Program

Ethereum (ETH) broke its two-month high on August 19, reaching an intraday price of $2,112 and a market capitalization of $251 billion. This surge was largely driven by the U.S. Department of the Treasury's announcement to double its government bond buyback program up to $4 billion.

The news sent shockwaves through the crypto market, with altcoins experiencing significant gains. Zcash (ZEC) led the pack, surging 9% in a single day and pushing its valuation above $9.3 billion. Solana (SOL) and XRP also saw substantial increases, reaching gains of over 6%.

Market analyst Michaël van de Poppe noted that Ethereum's current chart structure could be considered a significant technical breakout. If the price holds above the $2,000 support level, it could target successive resistance zones at $2,250, $2,465, and an extended target of $2,900.

The massive liquidation of short positions in Bitcoin on the same date exceeded $1.3 billion. The upcoming auctions and debt buyback schedules by the U.S. Treasury will set the tone for market liquidity in the coming weeks.