To The Moon

A decision by U.S. Treasury Secretary Scott Bessent to expand the scale of debt buybacks has emerged as the primary macro catalyst, driving yields lower and weakening the dollar, which in turn fueled a powerful rally in digital assets. This move propelled Bitcoin to its second-strongest weekly performance since early 2021, reigniting bullish momentum across the cryptocurrency market.

On the price front, Bitcoin climbed sharply from roughly $62,000 to a high of $79,500 before easing back to $77,000, recording a 23.6% gain for the week. This marks the best showing since February 2021, trailing only the rebound seen in March 2023 following the Silicon Valley Bank crisis. Ethereum outperformed, surging 31.3% from $1,900 to above $2,520, before a slight pullback to near the $2,500 level.

Fund flows have reinforced the bullish narrative, with data showing Bitcoin ETFs attracted $1.92 billion in net inflows last week, the highest single-week total since October 10, when BTC traded just below its all-time high of $126,000. Meanwhile, Ethereum ETFs saw net inflows of $697 million, marking their best weekly performance since early October 2025.

From a technical standpoint, both Bitcoin and Ethereum have broken above their 200-day simple moving averages, while their 50-day moving averages are turning upward, signaling an imminent golden cross. The macro backdrop also supports a renewed store-of-value trade, with gold climbing above $4,600, up 15% over the month, and holding firmly above its 200-day average of $4,504. The U.S. dollar index has slipped to 98.9, breaching its 200-day mean of 99.1, as a softer dollar combined with low yields strengthens the hedging appeal of scarce assets.

This confluence of a weakening dollar and declining yields lays a constructive long-term foundation for risk assets. Within this macro environment, both cryptocurrencies and gold, as non-sovereign credit assets, are seeing their allocation value further underscored, with market liquidity expected to continue tilting toward these high-beta instruments.