Bitcoin surges 6% as Trump pushes crypto legislation and Treasury boosts liquidity

Bitcoin surged 6% on August 21, 2026, extending a rally triggered by the U.S. Treasury’s announcement to double its long-end debt buybacks and President Trump’s push for crypto legislation at a White House summit with industry executives.

On August 19, Trump met with leaders from Coinbase, Ripple, and other major crypto firms, along with heads of the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC). After the meeting, Trump told reporters that Congress should “take the next step” in passing the Clarity Act, the industry’s priority bill, which has stalled in the Senate.

The immediate catalyst was the Treasury Department’s August 19 announcement that it would at least double its long-end debt buyback operations from a $2 billion cap to at least $4 billion, beginning September 9. The move signaled improved liquidity conditions and eased concerns about tight market funding, sending bond yields lower and boosting risk appetite across assets. Bitcoin jumped as much as 8.7% to $69,749 following the Treasury statement, according to Cryptopolitan.

By August 21, Bitcoin had climbed further, trading around $77,205, according to the Motley Fool. The rally reflected investor confidence in both the monetary backdrop and the regulatory environment. The Treasury’s buyback expansion is seen as a signal that the Federal Reserve and Treasury are prioritizing liquidity support, a shift that typically benefits assets like cryptocurrency that thrive in accommodative conditions.