Bitcoin surged past the 75,000 dollar mark late Thursday night, marking the first time the digital asset has reached those heights since May. This sudden spike comes as part of a broader market rally that began mid-week, pushing the world’s most valuable cryptocurrency up by more than 10,000 dollars in just two days. By early Friday morning, Bitcoin hit a peak of 75,268 dollars, sparking a wave of optimism across the entire crypto ecosystem.
The momentum extended well beyond Bitcoin, lifting other major players like Ether, which climbed over 25 percent from last week to reach 2,363 dollars. Other tokens followed suit in a coordinated climb, with XRP seeing a nearly 20 percent jump and Dogecoin rising over 11 percent within twenty four hours. This rapid ascent caught many traders off guard, resulting in a massive liquidation event where short sellers lost roughly 1.25 billion dollars, including some 750 million dollars specifically bet against Bitcoin.
Much of this volatility can be traced back to recent political movements and economic shifts. President Donald Trump recently hosted various crypto executives at the White House, where he strongly urged Congress to pass the CLARITY Act. This industry backed legislation aims to establish clear legal guidelines for digital assets to ensure the United States remains competitive against global rivals like China. The announcement acted as a catalyst for investors who have been waiting for regulatory certainty in the space.
At the same time, macroeconomic factors provided additional fuel for the fire. Treasury Secretary Scott Bessent decided to intervene in the bond market by doubling the buyback of long dated bonds to stabilize rising yields. These yields had spiked due to anxieties surrounding U.S. national debt and geopolitical tensions involving Iran. By curbing these rates through government intervention, the Treasury effectively encouraged investors to move back into riskier bets, providing the perfect environment for a comprehensive crypto breakout.