Bitcoin has surged about 11% since the start of the week, approaching $70,000 in mid-August and marking its highest level since early June. The advance has been fueled by growing optimism over a more crypto-friendly policy stance in the United States, which triggered a rebound that was intensified by a wave of short liquidations.
Sentiment improved after President Donald Trump met with crypto industry executives at the White House and urged Congress to pass legislation seen as supportive of the digital-asset sector. In the wake of this shift in tone, more than $1 billion in Bitcoin short positions were liquidated in roughly an hour, while total liquidations of crypto shorts hit a record $2.7 billion, further accelerating the rally.
Declining US Treasury yields added another boost after the Treasury Department said it would at least double buyback operations for long-dated government bonds, enhancing the overall environment for risk assets. At the same time, US spot Bitcoin exchange-traded funds recorded $517 million in net inflows, their largest since May.
