TLDR
- Bitcoin is trading around $77,100, up over 20% last week — its biggest weekly gain in 3.5 years
- President Trump called on lawmakers to pass the Clarity Act, boosting regulatory optimism
- The U.S. Treasury doubled debt buybacks, signaling more liquidity entering markets
- Treasury Secretary Scott Bessent announced an “economic D-Day” against Iran with sweeping sanctions
- Prediction markets show 68% odds of BTC reaching $85,000 by December 31, 2026
Bitcoin is holding firmly above $77,000 on Monday as a mix of regulatory optimism, Treasury policy shifts, and geopolitical tensions shape market sentiment.
BTC rose 1.3% to around $77,091 early Monday, after posting its largest weekly gain in 3.5 years — surging more than 20% over the past week.
JUST IN 🚨: Bitcoin $BTC scores biggest weekly gain in 3.5 years 📈 📈 pic.twitter.com/yHYLT7LFuS
— Barchart (@Barchart) August 24, 2026
The rally was partly driven by comments from President Donald Trump, who called on lawmakers to pass the Clarity Act. The bill aims to create a clear regulatory framework for crypto in the U.S., covering how digital assets are classified as securities or commodities.
The bill has been stalled in Congress for over a year. Disputes remain over stablecoin yield treatment and a clause that would restrict government officials from trading crypto — a particularly sensitive topic given Trump’s own crypto profits.
It is still unclear when or if the Clarity Act will become law.
Treasury Policy Adds Fuel
The U.S. Treasury announced it would double its buybacks of longer-dated bonds. This move is expected to release more liquidity into financial markets, which historically benefits risk assets like Bitcoin.
🇺🇸U.S. BOND MARKET IS HEADING INTO ANOTHER CRITICAL WEEK
Last Wednesday, Treasury yields dropped sharply after the government announced larger bond buybacks.
This week, three major events could determine where yields go next:
– Wednesday: PCE inflation data.
– Wednesday: U.S.… pic.twitter.com/iEuyAS45xS— Bull Theory (@BullTheoryio) August 23, 2026
This fits into what analysts call the “debasement trade” — the idea that rising fiscal deficits weaken the dollar and push investors toward alternative stores of value like crypto and gold. Gold climbed above $4,645 as the dollar index fell to near 98.80.
Iran Sanctions Add Uncertainty
Treasury Secretary Scott Bessent announced what he called an “economic D-Day” against Iran, describing it as “the single greatest financial offensive ever marshaled against an adversary.” He is set to formally announce the sanctions package on August 24.
The sanctions could include secondary measures targeting foreign banks and firms that continue doing business with Iran. Iran has threatened to block oil shipments through the Strait of Hormuz in response. Oil prices have since dropped to around $85 per barrel.
Despite the geopolitical tension, Bitcoin held its ground above $77,000.
Crypto analyst Ted flagged strong buying interest near the $74,000–$75,000 zone and pointed to powerful momentum on Bitcoin’s daily MACD chart.
$BTC daily MACD looks strong.
ETFs are buying, and there are large bids stacked around $74,000-$75,000.
At this point, Bitcoin to $90,000 looks like a real possibility.
Trade with me: https://t.co/cOHt8ZSMoe https://t.co/XQBs8Vf7PG pic.twitter.com/3A8yGbrVq6
— Ted (@TedPillows) August 23, 2026
BTC is trading above its upper Bollinger Band at around $76,905, with an RSI of 80.35 — above the 70 threshold that signals overbought conditions.
Total Bitcoin futures open interest climbed 0.70% to $55.37 billion in the last 24 hours, per CoinGlass data.
Prediction market data currently shows a 68% probability of Bitcoin reaching $85,000 by December 31, 2026.
