Bitcoin, Ethereum, and other digital assets experienced a sharp price rally after former President Donald Trump urged Congress to pass a bill expected to benefit the broader cryptocurrency sector. The move has injected fresh optimism into the market, which had been trading in a narrow band for weeks.
Trump's remarks also highlighted the decentralized exchange Hyperliquid, a platform that has gained significant traction among traders due to its perpetual contract offerings. According to CoinGecko data, Hyperliquid's native token surged roughly 20% over the past 24 hours, reflecting the renewed risk appetite across the crypto space.
Trump's push for strategic Bitcoin accumulation, coupled with his public endorsement of the industry, has fueled speculation that the current rally could have further room to run. Falling US Treasury yields have also contributed to the heightened trading activity, as investors rotate into higher-risk assets.
Before the Hyperliquid news broke, trading volume for BlackRock's iShares Bitcoin Trust ETF (IBIT) had already climbed to over 4.5 times its 30-day average. This surge in activity signals growing institutional interest, even as volatility metrics begin to tick upward. The BVIV Bitcoin volatility index, produced by Volmex Labs, has risen above 43.5 after hitting a yearly low of 35.5 last Friday.
Charlie Hayward, Head of APAC at Rootstock Collective, noted that the US Treasury's announcement of a significant increase in buyback programs for 20-year and 30-year bonds has driven yields markedly lower. This shift enhances the appeal of riskier assets such as Bitcoin for investors seeking higher returns in a lower-yield environment.
Max Studle, Head of Business Development APAC at Sygnum, described the current Bitcoin rally as the result of a convergence between favorable macroeconomic conditions and supportive policy signals. He explained that the Treasury's decision to double long-term bond buybacks aims to alleviate concerns over long-end yields, which had been pressured by worries about US debt levels and corporate issuance from large tech firms.
Geoffrey Kendrick, Head of Global Digital Assets Research at Standard Chartered Bank, emphasized that the Treasury's increased liquidity support for long-dated bonds represents precisely the type of event that benefits Bitcoin the most. He advised investors to position early, betting on Bitcoin reaching the $100,000 mark by the end of 2026.
Thomas Lee, Co-founder and Head of Research at Fundstrat, pointed out that the intense price swings over the past two days triggered the second-largest short squeeze in cryptocurrency history. This dramatic move has also pushed Ethereum to a three-month high, with CoinGecko data showing a 19% gain over the past seven days, bringing the asset to $2,251.
David Morrison, Senior Market Analyst at Trade Nation, observed that Bitcoin had been trapped between the $62,000 support level and the $66,000 resistance level for the past six weeks. He noted that even with Bitcoin trading nearly 50% below its October all-time high, market volatility remained unusually low, leaving crypto traders frustrated by the extended period of sideways movement.
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