Trump's Crypto Push Sends Market Soaring with Clear Rules on Horizon

The cryptocurrency market experienced a significant surge on Thursday, following US President Donald Trump's call for Congress to pass legislation establishing clear rules for digital assets. This comes after the U.S. Treasury Department announced its support for more long-duration bonds, which helped boost risk assets.

The Treasury's move was seen as a positive signal for crypto investors, despite being relatively small and offering only short-lived relief for bonds. Analysts noted that the rally in crypto was also fueled by a wave of short-covering, following weeks of narrow trading.

Bitcoin was last up 3.48% at $71,505, crossing the $70,000 mark for the first time since June. Ether gained 2.46%, reaching its highest level in over three months. Crypto exchange Coinbase Global rose 6.05%, while bitcoin bull Strategy increased by 4%.

The industry's top policy priority is the Clarity Act, which would define whether cryptocurrency qualifies as a security or a commodity. Trump's comments on Wednesday were seen as incrementally positive because they suggest the White House is putting more direct pressure on Congress to pass the legislation.