Bitcoin suddenly perked up following months of stagnation and surged toward the $80,000 mark, posting its best weekly gain in years. As Bloomberg notes, euphoria has returned to the crypto market: investors are once again urging holders to keep their coins at any cost, and MicroStrategy CEO Michael Saylor has been actively posting AI‑generated memes advising people to ignore the market noise.
The initial impetus came from traditional finance. Plans by the US Treasury to increase long‑term bond buybacks weakened the dollar. Against rising fiscal pressure, investors are once again betting on assets independent of the state monetary system. Even billionaire Ray Dalio supported the macro case for Bitcoin, pointing to the “unsustainable” debt spiral in the US economy.
The vigorous spike set off a classic chain reaction. Massive forced liquidations of short positions knocked bears out of the market, triggering a sharp surge in spot trading and bringing more than $1 billion of fresh money into Bitcoin ETFs. The political backdrop added to the optimism: Donald Trump’s calls on Congress to pass a law on crypto market structure (the Clarity Act) considerably reduced the regulatory‑risk premium.
Analysts report the largest liquidations of sell positions since 2021. Standard Chartered says that if the market remembers how fast prices can run, Bitcoin has a chance not only to break $100,000 by year‑end but also to test $126,000. Nevertheless, experts warn that squeezing bears alone is not enough for a stable consolidation in a new range — the market will need steady, justified demand.
