Bitcoin surged sharply in Friday trading, breaking above the $77,000 level and extending its gains for a third consecutive day. The world’s largest cryptocurrency by market capitalization climbed 6.6% to $77,472.44, marking its highest level since May 26. Bitcoin has gained more than 20% since Wednesday as investor sentiment toward cryptocurrencies and other risk assets improved.
The rally has been supported by optimism surrounding potential U.S. cryptocurrency legislation, including efforts to establish a clearer regulatory framework for digital assets. Market sentiment was also boosted by an unexpected decision by the U.S. Treasury Department to increase its planned purchases of longer-dated government bonds.
The Treasury’s move to at least double the size of certain long-term bond buyback operations contributed to a decline in longer-term yields and a weaker dollar, conditions that have encouraged demand for higher-risk assets such as Bitcoin.
The cryptocurrency’s latest advance also followed heavy short-position liquidations, adding further momentum to the rally. More than $2.7 billion in Bitcoin short positions were liquidated during an earlier stage of the surge.
According to Binance data, Bitcoin was trading at $77,224.94, up 8.26%, at 11:19 Moscow time. The latest gains have lifted Bitcoin more than 20% over the past several days, with investors closely watching whether the cryptocurrency can sustain its momentum above the $77,000 threshold.
