SINGAPORE : Bitcoin climbed above $80,000 on Tuesday, reaching its highest level in more than three months as weakness in the U.S. dollar and efforts by Washington to ease pressure in the bond market boosted demand for cryptocurrencies.
The world’s largest cryptocurrency rose as high as $81,237.94 during Asian trading, its strongest level since mid-May, before easing to around $80,323.
Bitcoin has gained about 28% so far in August, putting it on course for its strongest monthly performance since November 2024.
The latest rally has gathered pace following renewed signals from Washington on cryptocurrency regulation. U.S. President Donald Trump last week urged Congress to approve legislation aimed at establishing clearer rules and definitions for the rapidly expanding digital asset industry.
Bitcoin has risen about 16% since Trump’s call, with investors increasingly optimistic that greater regulatory clarity could support wider adoption of cryptocurrencies in the United States.
The crypto market has also benefited from a weaker dollar following measures announced by the U.S. Treasury to ease strains in the government bond market.
Treasury Secretary Scott Bessent last week outlined plans for the government to buy back more longer-dated Treasury securities, an effort aimed at limiting upward pressure on long-term bond yields. The announcement helped ease concerns in the bond market while putting additional pressure on the dollar.
A softer U.S. currency can support bitcoin and other digital assets by making dollar-denominated investments more attractive to overseas investors and encouraging demand for alternative assets.
Tim Sun, senior researcher at HashKey Group, said Bessent’s recent messaging had strengthened expectations that U.S. policymakers may be reluctant to tolerate a significant further increase in longer-term yields, particularly in the run-up to the midterm elections.
The combination of regulatory optimism, easing bond-market pressures and dollar weakness has revived momentum across the cryptocurrency market, pushing bitcoin back above the psychologically important $80,000 level.
Bitcoin surged past $80,000 in Asian trading, hitting its highest level since mid-May as a weaker U.S. dollar and easing bond-market pressures lifted demand for digital assets. The rally, up 28% in August, has been fueled by President Trump’s push for clearer crypto regulation, boosting hopes for wider U.S. adoption and reviving momentum across the broader cryptocurrency market.