Aug. 19 turned out to be an extraordinary day for the crypto market as Bitcoin (BTC), Ethereum (ETH), and other cryptocurrencies began rallying after the U.S. Treasury announced it is at least doubling the amount of longer-term government bond buybacks.
The market-supporting measure is intended to improve liquidity and reduce stress in longer-dated Treasuries. In the short term, it can loosen financial conditions and make risk assets like Bitcoin more attractive.
Related: Standard Chartered makes new Bitcoin prediction on Treasury news
Due to the months-long bearish market conditions following the flash crash on Oct. 10, 2025, crypto traders had been holding massive short positions for a long…
