Bitcoin surges 25% in weekly rally

Cryptocurrency markets experienced a significant rally over the past week, driven by a combination of institutional inflows, regulatory developments, and macroeconomic shifts. Bitcoin surged nearly 25% over seven days, reaching close to $80,000 in its strongest weekly performance since 2023. Ethereum also posted double-digit gains, rebounding from earlier lows, while major altcoins like Solana saw substantial increases.

The upward momentum was fueled by several converging factors. Spot Bitcoin exchange-traded funds recorded net inflows of $2.4 billion over five trading sessions, marking the strongest weekly inflow since their launch in January 2024. This institutional demand was complemented by a broader return of regulated fund interest, with Ethereum ETFs attracting approximately $697 million in inflows, signaling investor appetite beyond just Bitcoin.

A key catalyst was the U.S. Treasury's announcement on August 18 that it would double its liquidity buybacks of long-dated government bonds from $2 billion to at least $4 billion per operation, effective from September 9 to November 4, 2026. This decision pushed long-term yields lower, reducing the dollar's rate advantage and...