Key Highlights

  • Bitcoin traded near USD 72,837, up 6.57% on the day and extending a two-day gain of roughly 12%, its strongest rally in weeks.
  • The move was fueled by the Treasury Department's decision to double long-dated bond buybacks, a White House summit where President Trump urged Congress to pass the Clarity Act, and a roughly USD 3 billion short-position Liquidation cascade.
  • Crypto-linked equities rallied in sympathy, with Strategy up 8.58%, Coinbase up 8.71%, Bitmine Immersion Technologies up 7.19%, and Circle Internet Group up 7.68%.
  • Ethereum, Solana, and XRP also posted double-digit percentage gains, with Ethereum rising 12.05% and XRP up 23.89%.

Bitcoin Extends Sharp Rally on Multiple Catalysts

Bitcoin traded near USD 72,837 on Thursday, up 6.57% on the day, marking its highest level since early June and extending a two-day gain of roughly 12%. The rally has been driven by several converging catalysts rather than a single trigger. The Treasury Department's decision to double its long-dated bond buyback operations, from USD 2 billion to at least USD 4 billion per operation starting September 9, eased pressure on Treasury yields and weakened the dollar, a shift markets have interpreted as a liquidity-easing signal that supports scarce Assets like bitcoin.

The move was further amplified by a White House summit where President Trump hosted leading crypto executives, including Coinbase's Brian Armstrong and Ripple's Brad Garlinghouse, and urged Congress to pass the Clarity Act, legislation intended to establish clearer boundaries between SEC and CFTC oversight of digital assets. The Senate is expected to hold a procedural vote on the bill around September 15. Momentum was compounded by roughly USD 3 billion in forced short-position liquidations over 24 hours as bearish traders were caught on the wrong side of the move, alongside strong spot Bitcoin ETF inflows exceeding USD 517 million in a single session and nearly USD 1.47 billion for the month.

Crypto-Linked Equities Ride the Rally

The rally has spilled over sharply into crypto-adjacent equities. Strategy Inc (NASDAQ:MSTR), the Bitcoin treasury holder formerly known as MicroStrategy, rose 8.58% to USD 113.19, with shares climbing alongside the value of its more than 640,000 Bitcoin holdings, even as the stock remains down over 80% from its 2025 peak. Coinbase Global (NASDAQ:COIN) gained 8.71% to USD 174.15, buoyed by renewed optimism around regulatory clarity following the White House meeting. Bitmine Immersion Technologies (NYSE:BMNR), which has pivoted from Bitcoin Mining toward accumulating Ethereum, rose 7.19% to USD 21.70, extending a two-day rally following disclosure that its crypto and cash holdings reached USD 11.4 billion. Circle Internet Group (NYSE:CRCL), issuer of the USDC stablecoin, gained 7.68% to USD 84.63, benefiting from hopes that the Clarity Act would provide regulatory clarity for Stablecoin issuers.

Broader Market Reflects Risk-On Sentiment

Ethereum rose 12.05% to USD 2,340.37, Solana gained 7.54% to USD 87.71, and XRP jumped 23.89% to USD 1.32, reflecting broad-based strength across major cryptocurrencies rather than a Bitcoin-only move. Retail sentiment has shifted sharply toward bullish territory after weeks of caution, though traders are watching resistance near USD 73,000 to USD 75,000 to gauge whether the breakout can hold.

Conclusion

The rally's breadth, spanning Treasury market liquidity, regulatory optimism, and forced short covering, gives it a broader foundation than a purely speculative spike, though the scale of short liquidations means part of the move reflects forced buying rather than sustained spot demand. Bitcoin remains well below its October 2025 all-time high of roughly USD 126,000, and the durability of the rally will likely hinge on whether the Clarity Act continues to advance in the Senate and whether Treasury-driven Liquidity support persists once the expanded Buybacks take effect in September.