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Panic Sparks $500B Crypto Rally, Bitcoin Hits $80K

Bitcoin surges near $80k, sparking $500B crypto rally as bull market returns.

  • The Bitcoin Price surged within touching distance of $80,000 for the first time since late May, lifting the crypto market by approximately $500 billion.
  • U.S. Treasury Secretary Scott Bessent is reportedly considering using the near $1 trillion General Account to fund bond buybacks, potentially reviving the “debasement trade.”
  • Analysts at 10x Research declared Bitcoin‘s bull market “officially” here, noting the rally has awakened the “animal spirits” of the market.

Bitcoin and crypto prices have rocketed over the last week, lifting the combined market by around $500 billion as “panic” spread through markets. The bitcoin price has come within touching distance of $80,000 for the first time since late May, pushed on by a legendary billionaire investor naming bitcoin among his trade picks.

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Now, as BlackRock reveals a surprise bitcoin flip, Treasury Secretary Scott Bessent could deliver a fresh boost to the bitcoin price. The Treasury could use its near $1 trillion General Account to help fund bond purchases, according to a report.

“The Treasury’s intention to bring Treasury yields under control has revived the ‘debasement trade,’” said Alex Kuptsikevich, FxPro’s chief market analyst. “Assets associated with decentralised finance, namely Gold and bitcoin, are proving particularly popular.”

Last week, Bessent gave the bitcoin price a shot in the arm when he said he’s “going to increase the size of the [bond] buyback.” Bitcoin rallied more than 20%, buoyed by growing fears that the Trump administration could trigger a debt crisis.

10x Research analysts declared bitcoin’s bull market “officially” here. “We have consistently pointed out that bitcoin would most likely confirm its cycle low in either August or September,” analysts led by Markus Thielen wrote.

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Meanwhile, other analysts pointed to bitcoin’s strong performance against gold. Strive CEO Matt Cole posted that the bitcoin cycle will be “the strongest we have ever seen.” The bitcoin/gold ratio is an “important signal: within that expanding scarcity trade, bitcoin may be beginning to reassert its relative leadership.”

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