Bitcoin Breaks Through US$80,000, What's Behind It?

Bitcoin (BTC) moved to touch the US$80,000 level on 25 August 2026. Previously, the BTC price stood at US$64,000 on 17 August 2026. Bitcoin began to accelerate on 19 August 2026 and rose more than 20% in three days after moving relatively flat in early August.

The rise, which was also reinforced by short squeeze action, then brought Bitcoin past US$80,000 on 25 August 2026. This change became a signal that buying interest was strengthening again. However, the rapid pace of the increase also means volatility risk still needs to be watched.

Chief Marketing Officer of INDODAX, Aloysia Dian, assessed that this Bitcoin rally reflects not only short-term price movement but also a shift in sentiment. This is evident from a number of market indicators.

“Bitcoin’s momentum in recent days shows a fairly significant shift in sentiment,” said Aloysia.

This movement, Aloysia explained, was supported by changes in global macro sentiment following the US Treasury buyback policy as well as increased fund flows into spot Bitcoin Exchange Traded Funds (ETFs).

However, Aloysia stressed that the rapid rise still needs to be balanced with discipline in managing risk, especially for investors who are just returning to look for opportunities in the market.

For Aloysia, one of the macro factors drawing market attention is the Treasury policy of buying back part of US government debt. This policy is part of the Treasury’s efforts to maintain liquidity and support smooth trading.

The US Department of the Treasury increased buybacks of long-term government bonds, which had suppressed yields and renewed interest in risk assets, including crypto.

On the demand side, spot Bitcoin ETFs in the US again recorded positive fund flows. Based on SoSoValue data, spot Bitcoin ETFs recorded net inflows in the period 17-25 August 2026 with total fund flows reaching around US$2.57 billion.

At the same time, Crypto Quant recorded that Bitcoin’s Bull Score rose from 30 to 80 within a week. This reflects high optimism and risk appetite among market participants.

“ETF fund flows are one indicator that demand for Bitcoin is strengthening again. When the increase in demand runs in parallel with a price rise, market momentum becomes stronger. However, the movement still needs to be read together with macro conditions, liquidity, market activity, and overall investor sentiment,” Aloysia explained.

Amid the rise, market sentiment has also entered an optimistic zone. Aloysia said conditions like this can open up opportunities, but at the same time increase volatility risk if investors and traders start chasing prices too aggressively.

Aloysia assessed that this momentum also serves as an important reminder for investors and traders to keep adjusting their strategies to their respective goals and risk profiles. Short-term traders can evaluate position sizes and risk limits, while long-term oriented investors can consider a gradual approach so that decisions are not driven solely by price increases.

“Bullish momentum does not always move in one direction. Investors’ focus should not be on chasing prices or guessing the highest point, but on understanding the factors driving the market and having a plan to face various scenarios,” Aloysia added.