The US dollar weakens and both gold and BTC rise: Bessent repurchases US Treasuries — “currency debasement” trades are back
The US Treasury Secretary Bessent is doing a bond repurchase, the dollar weakens, and funds pour into gold and BTC as a safe-haven move.
According to Bloomberg, after US Treasury Secretary Bessent’s bond repurchase plan was put into effect, the US dollar index dropped immediately. The market has started to revisit an old theme—currency debasement: governments dilute the dollar’s purchasing power indirectly through buybacks and loose policy. The result is very straightforward: gold hits new highs, and BTC follows suit. It’s now quoted at $77,367.39, up 7.55% over the past 24 hours. In plain terms, this is the standard playbook when fiat credit is questioned—capital runs from the dollar into “hard assets.”
One-sentence translation: The Fed system is “flooding” the dollar, and smart money is looking for an exit.
Market impact
- Short term: The currency debasement narrative is one of BTC’s strongest upward catalysts, even more direct than rate-cut expectations. Every 1% drop in the dollar lifts the valuation anchor for BTC and gold by 1%. As of now, BTC is up 7.55% in 24 hours, ETH +3.80%, and XRP even +18.91%—risk appetite across the board is clearly recovering.
- Medium term: If buybacks become the norm, the dollar’s credibility discount will persist. Institutional logic for allocating to BTC may shift from “speculation” to “an alternative reserve asset.” Once this story is accepted by mainstream capital, the depth of any pullbacks should keep getting shallower.
My view
Clearly bullish. The currency debasement trade isn’t a one-day setup. In the 2024–2025 dollar-weakness cycles, BTC has been one of the most elastic assets. The key is whether BTC can hold above $77,367.39 and break the $90.88K psychological level—if it holds and breaks through, it opens up new upside space. If it retests around $90.88K and can hold, that would be a healthy pullback.
Risk points: A dollar rebound, or buyback力度 falling short of expectations, could quickly cool the narrative and amplify volatility.
- Coins: BTC / ETH / BNB
- Direction: Bearish 📉 Predict price drop
- Duration: BTC 12 hours / ETH 24 hours / BNB 4 hours
$BTC $ETH #BTC #ETH
📊 Historical backtest
- After news similar to “Options data: Bitcoin up 40% over four weeks, traders hedge the rally” (2024-02-28) was released, BTC’s 12h return was +2.13%; the bearish prediction ❌ was wrong.
- There were 136 bearish-type BTC news items in history. In 64 of them, the predicted direction matched the actual price action (accuracy 47%).
#Macroeconomy
⚠️ Not investment advice
The US Treasury Secretary Bessent is doing a bond repurchase, the dollar weakens, and funds pour into gold and BTC as a safe-haven move.
According to Bloomberg, after US Treasury Secretary Bessent’s bond repurchase plan was put into effect, the US dollar index dropped immediately. The market has started to revisit an old theme—currency debasement: governments dilute the dollar’s purchasing power indirectly through buybacks and loose policy. The result is very straightforward: gold hits new highs, and BTC follows suit. It’s now quoted at $77,367.39, up 7.55% over the past 24 hours. In plain terms, this is the standard playbook when fiat credit is questioned—capital runs from the dollar into “hard assets.”
One-sentence translation: The Fed system is “flooding” the dollar, and smart money is looking for an exit.
Market impact
- Short term: The currency debasement narrative is one of BTC’s strongest upward catalysts, even more direct than rate-cut expectations. Every 1% drop in the dollar lifts the valuation anchor for BTC and gold by 1%. As of now, BTC is up 7.55% in 24 hours, ETH +3.80%, and XRP even +18.91%—risk appetite across the board is clearly recovering.
- Medium term: If buybacks become the norm, the dollar’s credibility discount will persist. Institutional logic for allocating to BTC may shift from “speculation” to “an alternative reserve asset.” Once this story is accepted by mainstream capital, the depth of any pullbacks should keep getting shallower.
My view
Clearly bullish. The currency debasement trade isn’t a one-day setup. In the 2024–2025 dollar-weakness cycles, BTC has been one of the most elastic assets. The key is whether BTC can hold above $77,367.39 and break the $90.88K psychological level—if it holds and breaks through, it opens up new upside space. If it retests around $90.88K and can hold, that would be a healthy pullback.
Risk points: A dollar rebound, or buyback力度 falling short of expectations, could quickly cool the narrative and amplify volatility.
- Coins: BTC / ETH / BNB
- Direction: Bearish 📉 Predict price drop
- Duration: BTC 12 hours / ETH 24 hours / BNB 4 hours
$BTC $ETH #BTC #ETH
📊 Historical backtest
- After news similar to “Options data: Bitcoin up 40% over four weeks, traders hedge the rally” (2024-02-28) was released, BTC’s 12h return was +2.13%; the bearish prediction ❌ was wrong.
- There were 136 bearish-type BTC news items in history. In 64 of them, the predicted direction matched the actual price action (accuracy 47%).
#Macroeconomy
⚠️ Not investment advice