Treasury Intervention Boosts Bitcoin Above $80,000
Bitcoin has surged to over $80,000 for the first time since May, driven by a recent announcement from the US Treasury Department. The department plans to double its government debt repurchase operations to at least $4 billion per operation between September 9 and November 4, targeting the 10- to 30-year sector of the curve.
The move has been violent and fast, with Bitcoin rising 23% last week, its strongest weekly advance in three years. It is now up roughly 27% over the past month and 38% from its June plunge that took it to a seven-day low of $58,756.
The Treasury intervention removed the premise of shorting Bitcoin against a rising real-yield backdrop. Positions that had been profitable for six weeks became forced buyers of spot and perpetual contracts, compounding on themselves across eight consecutive sessions.