This week brought an unexpected development from the US Treasury Department, which revealed plans to expand bond buyback operations significantly for longer-maturity securities. Treasury officials designed this strategy to suppress yields on the long end of the curve.
Bitcoin continues its rebound and is now approaching $72,000, representing an increase of about 15% since Monday. The renewed liquidity in the United States and progress around the CLARITY Act support the movement.
The rapid inflow into Bitcoin ETFs suggests increased institutional confidence, potentially stabilizing Bitcoin's market and influencing future benchmarks. Bitcoin ETFs accumulate $1B in three days as bulls return.
Liquidations top $1.5B as falling yields and forced short covering ignite BTC rally
Bitcoin price extended its breakout to $72,490 on Aug. 20 after forced short covering pushed the price through its 200-day moving averages, but an overbought daily reading raises the risk of a pullback.
US spot Bitcoin ETFs saw record Q2 2026 outflows of 77,033 BTC worth $4.9 billion, driven by retail selling while institutions added 7.5% to Bitcoin ETFs just bled 77,000 BTC in a single quarter, and retail investors are the ones heading for the exits.
On-chain data shows BTC still capitulating below key cost basis levels
Metaplanet Moves 2,100 BTC Into US Expansion Through Superplanet Deal - Read the full analysis.
While the advance was triggered by relief in the bond market following White House support signals for U.S. Treasuries, longer-term gains are likely to be underpinned by the Fed, said Pedro Fontes, a research analyst at crypto exchange Mercado Bitcoin.
Investors have poured more than $1 billion into US spot Bitcoin ETFs this week as BTC neared $72,000 and Ether climbed 19% to about $2,286 on Thursday.
The large holders of bitcoin seem to be returning to buying. Around 43,000 BTC have reportedly been accumulated over 60 days, according to data from CryptoQuant relayed on August 19th by Bitcoin.com News.
The dollar drops to its lowest since late May, gold climbs to its highest since early June, Bitcoin jumps toward its summer high. Behind all three moves stands the same decision out of Washington, and understanding it means understanding the weeks ahead.