2026.08.2503:15:45UTC+00Bitcoin Surges Above $80,000

Bitcoin climbed above $80,000 on Tuesday, its highest level since May, extending its rally to roughly 28% since mid-August. The advance was underpinned by several supportive factors, including renewed interest in the so‑called “debasement trade” after the US Treasury announced plans to increase purchases of longer-dated government bonds. That announcement pressured long-term yields and the US dollar, bolstering demand for alternative assets such as Bitcoin.

US spot Bitcoin ETFs also logged their strongest weekly inflows in 10 months, drawing in $1.92 billion. At the same time, expectations that a Trump administration would maintain a favorable stance toward cryptocurrencies further lifted sentiment. The sharp move higher triggered a substantial short squeeze: roughly $7.2 billion in leveraged bearish crypto positions were liquidated over the past week.

Even after the rebound, however, Bitcoin remains well below its all-time high of around $126,000 set last October. Analysts also warn that the recent surge may be driven largely by short covering rather than a durable increase in underlying demand.