Bitcoin climbed past $77,000 on Friday, driven by optimism surrounding potential U.S. crypto regulation and an unexpected Treasury move to ramp up bond buybacks, which encouraged investors to embrace riskier assets.
The leading cryptocurrency by market cap rose 6.9% to hit $77,675.94, marking its strongest level since May, with gains exceeding 20% since Wednesday. This marked the third straight session of gains above 5%.
The rally followed President Donald Trump’s Wednesday call for lawmakers to pass the Clarity Act, a Senate-stalled bill aimed at promoting crypto adoption.
Additional support came from the Treasury’s decision to double its sovereign debt repurchases in an effort to reduce long-term borrowing costs—a step that boosted risk sentiment.
The move came as 30-year Treasury yields touched levels not seen since 2007, just before the financial crisis.
With yields poised to drop, safer assets become less appealing, steering demand toward higher-risk investments like cryptocurrencies.
“Renewed hope for crypto-friendly policy in Washington ignited Bitcoin’s latest surge,” said Bret Kenwell, a U.S. investment analyst at eToro. “Falling yields and short squeezes only added to the upward momentum,” he added.
AFP