everyone's asking why btc just ripped over 20% in a week so here's the real answer
it started with the treasury
treasury secretary bessent doubled the long dated bond buyback program from 2 billion to 4 billion per operation
that came one day after the 30 year treasury yield hit 5.34% its highest level since 2007 amid a global bond selloff tied to inflation fears the us iran conflict and total us debt crossing 40 trillion dollars the same day
markets read the buyback as a form of stealth easing
galaxy digital's alex thorn called it effectively yield curve control and said the fed is doing qe right now in practice even without saying it out loud
lower long term yields plus a weaker dollar makes scarce hard assets like btc gold and silver more attractive almost overnight
the dollar index actually fell below its 200 day moving average for the first time in over three months right after this news
that triggered a serious short squeeze somewhere between 1.5 and 3 billion in short positions got liquidated as price ripped higher in one stretch crypto saw its 7th largest liquidation event ever about 3.5 billion wiped out in 24 hours adding 280 billion in market cap in a single day
underneath all that spot btc etfs already had 1 billion in inflows in the first two weeks of august before this even happened
so this wasn't hype out of nowhere real demand was already building the treasury news just poured gasoline on it
worth knowing this isn't a clean one way story either
btc actually gave back the 70k level within hours the next day after fed minutes reintroduced rate hike risk
so treat this as a genuine macro driven move not noise but also not a guaranteed straight line from here
$BTC
it started with the treasury
treasury secretary bessent doubled the long dated bond buyback program from 2 billion to 4 billion per operation
that came one day after the 30 year treasury yield hit 5.34% its highest level since 2007 amid a global bond selloff tied to inflation fears the us iran conflict and total us debt crossing 40 trillion dollars the same day
markets read the buyback as a form of stealth easing
galaxy digital's alex thorn called it effectively yield curve control and said the fed is doing qe right now in practice even without saying it out loud
lower long term yields plus a weaker dollar makes scarce hard assets like btc gold and silver more attractive almost overnight
the dollar index actually fell below its 200 day moving average for the first time in over three months right after this news
that triggered a serious short squeeze somewhere between 1.5 and 3 billion in short positions got liquidated as price ripped higher in one stretch crypto saw its 7th largest liquidation event ever about 3.5 billion wiped out in 24 hours adding 280 billion in market cap in a single day
underneath all that spot btc etfs already had 1 billion in inflows in the first two weeks of august before this even happened
so this wasn't hype out of nowhere real demand was already building the treasury news just poured gasoline on it
worth knowing this isn't a clean one way story either
btc actually gave back the 70k level within hours the next day after fed minutes reintroduced rate hike risk
so treat this as a genuine macro driven move not noise but also not a guaranteed straight line from here
$BTC