Bitcoin's entire summer comeback happened in 3 days

Happy Friday, investors. I’m talking stocks on Fox Business at 7:20 AM ET this morning — hope to see you there!

Before that, we have to unpack this bitcoin rally.

BTC on the move

Bitcoin is up almost 30% in a month and almost all of that can be tied back to the US Treasury.

Since the start of August, its price has climbed from about $63,000 to over $81,000. But its best three days came on August 19, 20 and 21, immediately after Treasury Secretary Scott Bessent doubled the government’s bond market buybacks to at least $4 billion per operation.

Bitcoin gained more than 5.4% a day for three days to secure a 21% gain in 72 hours. 

Bitcoin saw its latest 5% day again on Thursday, its fourth in the last month.

What’s interesting, too, is that bitcoin remained flat on August 18 when the SEC proposed a pro-crypto framework that traders ordinarily would have celebrated.

The market ignored industry-specific policy then went gangbusters on Treasury plumbing.  

Notably, bitcoin dropped 3% for its worst day of the month on August 28, when Federal Reserve Chairman Kevin Warsh reiterated his focus on inflation at Jackson Hole. 

So the Treasury catalyzed bitcoin’s best three days while the Fed sparked its worst.