Bitcoin surges in a fiery rally—surpassing $80,000 and heading toward $100,000.

Bitcoin continued its successive price surges, breaching the $80,000 mark during Tuesday's trading to reach its highest level since mid-May. This rally was driven by a weakening US dollar and renewed appetite for alternative assets following US Treasury measures aimed at stabilizing the bond market.

Key figures of the price surge:

Current Price: Bitcoin stood at $80,323.24, having touched a session high of $81,237.94.

Monthly Performance: The cryptocurrency has jumped 28% since the beginning of August, marking its best monthly performance since November 2024.

Weekly Performance: Bitcoin rose 16% following President Donald Trump's call for Congress to enact clearer laws and regulations for the crypto sector.

Key Drivers of Market Momentum

1. US Treasury Plan and Dollar Decline

The announcement by the Treasury Department—under the leadership of Scott Bessent—regarding increased long-term bond buybacks has curbed the rise in yields and exerted pressure on the dollar. Geoff Kendrick, Head of Digital Assets Research at Standard Chartered, noted that this measure creates an ideal environment for the growth of Bitcoin, which was fundamentally designed to bypass such monetary interventions.

2. Resurgence of Currency Hedging Trades

Market analysis indicates that interventions to control bond yields have shifted pressure onto currency markets, reviving strategies to hedge against the dollar's declining purchasing power and driving liquidity toward digital assets and gold—the latter having hit a three-month high.

3. Yield Caps and Structural Support

Tim Sun, a senior researcher at HashKey Group, believes markets now anticipate that US policymakers have little tolerance for further spikes in long-term bond yields, thereby creating a supportive and enduring macroeconomic environment for crypto assets.

Outlook and Forecasts

Targeting $100,000: Tony Sycamore, a market analyst at IG, confirmed that Bitcoin’s continued stability above current levels paves the way for a new rally targeting the $95,000–$100,000 range.

Shifting Investor Behavior: Recent movements reflect Bitcoin’s resurgence as a key hedge against fiscal and monetary policy risks and the declining purchasing power of traditional currencies.