Bitcoin's price surged on Monday, approaching the $80,000 mark after U.S. exchange-traded funds recorded their best week since October. The leading cryptocurrency traded more than 2% higher over a 24-hour period, moving past $79,155 after reaching as high as $79,954 earlier in the morning in New York.
Over the past week, the asset climbed 25%, recovering from a sluggish period in June and July when it mostly traded below $65,000. U.S. investors reversed course last week to purchase shares in Bitcoin ETFs managed by firms including BlackRock, Fidelity, Grayscale, and Morgan Stanley. According to data from Farside Investors, these funds attracted $1.9 billion in new cash.
Eric Balchunas, a Bloomberg Intelligence ETF analyst, noted on social media that the inflows highlight the benefits of a commodity experiencing a constant state of supply shock.
The surge in bitcoin interest was triggered by the U.S. Treasury Department's announcement last week to at least double the size of its long-dated bond buybacks. Following the announcement, yields declined while bitcoin and gold increased. The dollar traded at a three-month low last week, while bitcoin experienced its best week since 2023.
Additional support came from the White House, where President Donald Trump met with crypto executives last week and urged lawmakers to pass the Clarity Act. Lawmakers are scheduled to vote in September on the proposed legislation, which aims to establish a framework distinguishing between digital assets that are securities, commodities, or payment stablecoins.
