Bitcoin crosses $80,000 to reach highest level in three months

Bitcoin has crossed the $80,000 mark for the first time since mid-May on renewed optimism about the crypto market.

The world’s biggest cryptocurrency rose about 4 per cent to reach $80,246 on Tuesday morning, according to data from CoinMarketCap.

Bitcoin rallied throughout last week, although it remains well below its peak of about $126,000 hit in October.

It received a boost after the US Treasury on Wednesday said it would double the size of its repurchases of long-dated securities to at least $4 billion per round over the next quarter. Washington might even further boost its Treasury buybacks.

The latest rally appears to be driven by a combination of improving liquidity expectations and a lower regulatory risk premium, said Naeem Aslam, chief investment officer of Zaye Capital Markets.

“US Treasury action to increase purchases of longer-dated securities helped pull yields lower and improve risk appetite, while President [Donald] Trump’s renewed push for clearer digital-asset legislation has strengthened expectations that institutional participation could become easier,” he said.

During a White House meeting with crypto industry executives last week, Mr Trump called on the US Congress to pass a “fair version” of the Clarity Act.

“In 2026, regulatory clarity is emerging as a lead market catalyst and this push by President Trump and crypto leaders will certainly boost the market sentiment,” said Ryan Lee, chief analyst at Bitget Research.

The move will have an impact beyond Bitcoin’s immediate price movement, he said.

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“The focus of the US administration to establish a clearer policy framework for digital assets will serve as a template for other emerging markets to regulate the fast-growing crypto industry in their respective countries.”

In the coming weeks, the market will be in wait-and-watch mode to see if the political will translates into legal progress.

“If the Clarity Act makes progress, it could boost investor confidence and spark a broader recovery in digital assets. However, any ambiguity or political impasse will keep the market volatility elevated.”

Mr Aslam also said that regulatory progress, institutional custody expansion and improving liquidity conditions would strengthen the case for continued upside, particularly if Treasury yields remain contained.

“Conversely, stronger US growth could push real yields higher again and remove part of the liquidity support behind the rally.”

Source: www.thenationalnews.com