Treasury QE and Trump Backed Crypto Rally Drives BTC and ETH Skyward

Crypto markets saw a violent upside move on August 19, 2026, with Bitcoin jumping 14.5% to around $73,000 and Ethereum surging 23% to $2,330.

The catalysts behind the rally were multifaceted, including the U.S. Treasury's announcement that it would double its long-duration bond buybacks from $2 billion to $4 billion, effectively reducing duration risk in the market and pushing yields down.

Treasury Secretary Scott Bessent hinted at further increases, which was seen as a soft cap on 30-year yields, a 'Bessent put' analogous to the Fed put.

The Treasury's move, combined with the White House hosting a crypto industry summit where President Trump name-dropped Hyperliquid and praised the administration's approach to regulation, contributed to the rally.