BTC Surges Past $80K Milestone Driven by ETF Inflows and Treasury Buyback Expansion
The price surge came on the heels of the US Treasury's decision to expand its long-end debt buyback operations and President Trump's revitalized efforts to advance crypto market structure legislation.
On Tuesday, Bitcoin climbed past the $80,000 threshold for the first time since the middle of May, marking the continuation of its most powerful weekly advance in over two years.
The leading cryptocurrency (BTC) reached a peak of $81,160.06 during trading, pushing its gains over a seven-day period to approximately 25.8%, according to data from CoinGecko.
The upward price movement occurred alongside a resurgence in demand via US spot Bitcoin exchange-traded funds (ETFs), which attracted net inflows totaling $1.92 billion over the previous week.
This week's strength has been led by fundamental spot demand and allocator flows through ETFs rather than by pure leverage, and rallies built on that base tend to be more durable than ones driven by crowded futures positioning.
Fabian Dori, chief investment officer at Sygnum Bank
During Wednesday's session, the US Treasury announced plans to increase the maximum size of its long-end liquidity-support buyback operations by at least double, raising the ceiling to $4 billion per operation. Meanwhile, President Donald Trump called on Congress to enact crypto market structure legislation during a White House event.
Analysts at Bernstein, under the leadership of Gautam Chhugani, characterized the Treasury's announcement as the "strong trigger" behind Bitcoin's upward movement, highlighting that the digital asset has traditionally exhibited positive reactions to periods of liquidity expansion.