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Bitcoin rally lifts US crypto stocks as Treasury buybacks ease yields

Spot Bitcoin ETFs pulled in $458 million in one day, after the US Treasury doubled long-dated bond buybacks that pushed 30-year yields off 2007 highs.

Reported · Written up by our desk · Market Structure

Bitcoin’s steep rebound has spilled over into US-listed crypto stocks, as investors linked the move to US Treasury action that eased a recent bond-market selloff. LiveMint Markets reports that the biggest weekly rally in three years sent Bitcoin up as much as 23% last week, briefly nearing $80,000.

The rally, according to experts cited by LiveMint Markets, followed the US Treasury announcing it would double the size of its long-dated bond buybacks. That was seen as lowering long yields, which can boost risk appetite for assets such as Bitcoin by reducing the attractiveness of safe, cash-like returns.

LiveMint Markets also pointed to trading dynamics amplifying the price move, including a large short squeeze. The outlet said forced buybacks by leveraged shorts drove more than $1 billion of liquidations within 60 minutes and about $3 billion of bear losses.

ETF demand added further support, with LiveMint Markets citing $458 million of inflows into spot Bitcoin ETFs on a single day, led by BlackRock’s IBIT, and total inflows reaching $500 million. The same mix of macro liquidity, short covering, and ETF demand was described as fueling gains in Bitcoin and crypto mining stocks, even as some miners failed to hold gains into the close.

Latest closeBitcoin $78,579.98 ▲7.6%

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