Bitcoin Price Increases by $15k after U.S. Treasury Announcement
Bitcoin (BTC) price rose by $15k after the US Treasury announced it would double down on its bond buyback, raising it to $4 billion in September, a positive liquidity signal for the market.
Trading at $77k on Sunday, the world’s largest digital asset jumped from the low $62,000s to near $80,000, triggering an estimated $3–$4 billion in short liquidations, including about $3 billion in a single 24-hour window.
The move was catalysed by the US Treasury doubling long-dated bond buybacks, lower yields, a weaker dollar, and strong inflows into spot Bitcoin ETFs, all of which pushed traders into risk assets.
The squeeze fuel is largely spent, so sustainability now depends on real spot demand holding key support levels, with overbought momentum and profit-taking risk to watch closely.
During this breakout, derivative data providers reported more than four billion dollars in bearish crypto positions being liquidated, as shorts were automatically closed when margins failed, according to CoinGlass-based reporting
Within a single 24-hour window, traders who bet against Bitcoin lost about three billion dollars, with roughly 172,000 short accounts liquidated, the largest short-side wipeout since 2021 in that dataset.
Other analyses put BTC-specific short liquidations at nearly $ 1.44 billion over three days, with the wider crypto complex bringing the total toward the $4 billion mark.
The US Treasury announced it would double long-dated bond buybacks from $2 billion to $4 billion per operation, lowering long-term yields and weakening the dollar, a backdrop that pushed investors toward scarce assets like Bitcoin and gold.
Analysts at Bernstein and Standard Chartered explicitly tied the BTC breakout above 70,000 to that buyback decision, calling it a key trigger for the rally and subsequent liquidations.
At the same time, US spot Bitcoin ETFs saw about $1.9 billion in net inflows over five sessions, with a single day bringing in more than $600 million, most of it into BlackRock’s IBIT product, according to ETF flow analysis.
Momentum indicators show the move is stretched. Bitcoin’s daily RSI climbed above 80, its most overbought reading since 2024, after a roughly 20 per cent weekly gain and reclaiming major moving averages.
Analysts warn that once shorts are flushed, forced buying disappears, and the next leg must come from genuine spot demand.
Bitfinex and other desks highlight that recent price gains outpaced the rise in futures open interest, a sign the move had solid cash backing, but they also flag profit-taking risk if coins in profit are sent to exchanges, as outlined in the profit-taking risk analysis.
Technically, the $68,000 to 69,000 zone and then around 70,500 are seen as support levels that need to hold to keep the bullish structure intact, while the $78,000 to 80,000 area is near-term resistance.
The squeeze created a powerful but potentially fragile rally; if support zones fail or profit-taking accelerates, volatility can return quickly, especially for highly leveraged traders and beta-sensitive altcoins. Bitcoin Price Increases by $15k after U.S. Treasury Announcement
