Treasury Prepares $5B Bond Buyback as Bitcoin Consolidates Below $79K

Treasury Secretary Scott Bessent is preparing to announce a larger bond buyback operation, which could reduce the supply of long-term debt and lower yields. Wall Street expects this move to be worth $5-6 billion, focusing on long-term bonds.

The announcement comes ahead of upcoming 10 and 30-year Treasury auctions, with the aim of containing elevated yields. Despite this news, Bitcoin remains consolidated below $79,000, but its weekly chart momentum remains bullish.

Bitcoin's daily RSI has moved away from overbought territory, indicating a potential correction. However, continued ETF inflows and treasury company buying suggest that investors remain optimistic about the asset's prospects.

Strive, a Bitcoin treasury firm, purchased another 1,375 BTC, while Tom Lee's Bitmine added to its Ethereum holdings, now accounting for nearly 5% of total ETH supply at 20,086 ETH.