Bitcoin (BTC) is seeing a big macro-driven breakout, through the $78K mark for its best price since May. Bitcoin posted its best weekly gain in more than three years as traders assess the fallout from a recent spike in bond yields and fiscal consolidation in the world’s largest economy
The pioneer crypto asset jumped as much as 9.5& and changed hands at around $77,500 in late New York trading. It has advanced roughly 23% this week, a gain that, if sustained, would be the biggest on that basis since March 2023. Bitcoin last traded at $80,000 in May.
BTC climbed above the 200-day moving average for the first time since December 2025, only one month after breaking an all-time high over $126,000.
The 200-day moving average is commonly used to observe markets over an extended period, and confirming a position over the average may suggest the beginning of the months-long downward trend has ended for Bitcoin
Market exuberance returned to cryptocurrencies when US Treasury Secretary Scott Bessent announced Wednesday the department would at least double the size of its long-dated bond buybacks, triggering an upswing that forced traders to liquidate billions in short positions.
Consequently, President Donald Trump met with crypto industry leaders, further adding to optimism.
President’s Trump’s gathering, which involved leaders at such companies as Coinbase Global, was seen as a signal of a crypto-friendly approach by the administration. Trump called on the Senate to adopt a crypto-market structure bill known as the Clarity Act, which has been stalled over partisan disagreements regarding ethical considerations. The bill was not put up for a vote prior to the Senate’s August recess.
Crypto advocates believe that this legislation is key to offering regulatory certainty and allowing institutional involvement in the digital assets space.
Institutional demand for Bitcoin was strong this week, and those US-listed Bitcoin ETFs posted their highest inflows in six weeks, with more than $1 billion pouring into the 13 ETFs so far this week on mounting enthusiasm surrounding digital assets.
- “Risk that my end-of-year estimate (of $100k) is too low, and that is the first time this year,” Geoffrey Kendrick, global head of digital assets research at Standard Chartered Plc, said in a client note
Kendrick slashed Standard Chartered’s end-year target for Bitcoin from $150,000 to $100,000 and for Ether from $7,500 to $4,000 on Feb. 12, in a report.
He anticipated Bitcoin to decline toward $50,000 and Ether toward $1,400 before they rebound for the remainder of the year. Other onlookers have also raised indications of a bearish conclusion.
- “We are probably due for October for Bitcoin to bottom,” Swan Bitcoin Chief Executive Officer Cory Klippsten said in a Jan. 17 statement on his platform.
Meanwhile, gold reached its highest level since May amid investor fears that the intervention in the bond market will weigh on the US dollar.
Investors should be overweight in countries and asset classes that have healthy finances, including bonds, said Ray Dalio, founder of Bridgewater Associates. Overweight bonds and keep about 10% to 15% in gold and “a small amount” in Bitcoin, he recommended, as ways to lower risk and increase return potential.
- “The real driver was the US Treasury doubling long-dated bond buybacks, which pulled long yields lower and lifted risk appetite broadly,” added Rachael Lucas, an analyst at BTC Markets. “Nothing has rewritten Bitcoin’s long-term case, but nothing’s rewritten its volatility either.”