Crypto Roars Back! Bitcoin Rises 8%, Ethereum Surges 18% in a Day
Jakarta, CNBC Indonesia - The crypto asset market recorded sharp gains in trading on Thursday (20/08/2026). Market sentiment turned significantly positive after the United States Department of the Treasury announced plans to increase the volume of its Treasury buyback programme to double the previous schedule.
This liquidity intervention directly suppressed yields on US government debt in the secondary market. The condition reduced the attractiveness of fixed-income instruments and encouraged capital rotation back into risk assets, including the crypto asset market.
Based on the latest trading data, Bitcoin (BTC) recorded a significant daily gain of +8.24%, trading at $69,683.03. On a weekly basis, the crypto asset with the largest market capitalisation accumulated a rise of +9.86%. This surge brought Bitcoin back near the psychological level of $70,000 after several weeks consolidating in the range of $64,000 to $66,000.
A more aggressive performance was shown by Ethereum (ETH). ETH recorded a daily surge of +18.41% and strengthened +20.69% over the past week, placing its price at $2,265.41. This sharp rise confirmed the return of institutional market participants’ risk appetite to the large-cap smart contract sector.
In the altcoin sector, market movements showed broad-based gains without any negative anomalies among major assets. Hyperliquid (HYPE) led the sector with a daily surge of +17.95% to $69.23, and posted the highest weekly appreciation at +23.09%.
Significant gains were also recorded by XRP (XRP), which rose +11.31% to $1.11, and Solana (SOL), which strengthened +10.76% to $84.95. Meanwhile, Zcash (ZEC) continued its positive trend with a rise of +11.15% to $563.22, followed by Dogecoin (DOGE), which grew +7.95% to $0.07548.
This synchronised movement reflected new liquidity entering comprehensively, a broad-based rally, differing from the dynamics of several previous weeks which tended to be defensive and rotational.
The main driving factor behind today’s market strengthening was the liquidity policy from the US Treasury. The decision to double the capacity of the bond buyback programme served as a mechanism for injecting liquidity directly into the banking system and capital markets.
When the US government actively buys back long-term bonds in the market, bond prices rise and automatically suppress benchmark bond yields such as the US 10-Year Treasury. The decline in the risk-free rate makes money market instruments relatively less attractive to institutional fund managers. As a result, liquidity spillover occurs into equity and digital asset markets, which are seen as offering higher potential returns.
In response to the fiscal liquidity injection and current price recovery dynamics, analytical views for long-term projections have begun to adjust. The probability of Bitcoin’s price correcting deeply to touch the historical target of $40,000 is considered increasingly small.
The market appears to be building a more solid rebound foundation from its recent lowest consolidation area because intervention in the bond market signals a fundamental change in financial markets overall.
Although indicators are beginning to show reversal signals, market participants are still advised not to engage in aggressive all-in schemes at this time. Structural challenges related to inflation and the Federal Reserve’s tight interest rate policy remain macroeconomic risks that have not fully disappeared, as US oil prices are still observed at fairly high levels. Therefore, although the market is projected to begin entering a recovery phase, volatility risk and potential minor declines still loom.
A dollar-cost averaging strategy while maintaining a portion of cash liquidity to anticipate short-term corrections is the most rational approach at present.