Trump Meeting and Treasury Yield Shift Boost Crypto Markets to New Heights
U.S. Treasury yields have declined and President Trump's meeting with crypto industry executives has boosted market sentiment, sending cryptocurrencies soaring across the board.
Bitcoin has broken through $70,000 for the first time in over two months, rising by more than 11% to $71,871 in the past 24 hours. Other major cryptocurrencies have also surged, with Ethereum up over 19% and SOL gaining nearly 13%. The token HYPE linked to offshore exchange Hyperliquid has jumped by more than 24%.
The U.S. Treasury's decision to expand its long-term repurchase program has pushed yields lower, while the weakening dollar has contributed to the rally in risk assets. Jeff Mei of BTSE noted that when U.S. Treasury yields decline and the dollar weakens, risk assets tend to rise, citing Bitcoin's climb on this news.
Meanwhile, Trump's meeting with cryptocurrency executives has rekindled optimism about the Digital Market Assets Clarification Act, which aims to establish a framework for the crypto market but has been stalled in the Senate. Institutional buyers have also returned to the market, with large Bitcoin holders increasing their holdings by approximately $2.75 billion worth of Bitcoin over the past 60 days.