Bitcoin breaks US$80,000, and "devaluation transactions" are back

Bitcoin exceeded US$80,000: a weekly increase of more than 25%, boosted by macro factors and ETF fund flows.

On the night of August 24 to 25, 2626, the Bitcoin price exceeded the US$80,000 mark. This is the first time since mid-May! One detail attracted the attention of investors and cryptocurrency traders: the increase exceeded 25% in just one week. Analysts attributed the achievement to a rare combination of macroeconomic factors. Is this the beginning of a new bull market cycle, or is it an isolated market volatility? Various predictions have emerged within the cryptocurrency community.

Brief description

Bitcoin hit US$81,237.94, the highest level since mid-May. BTC rose 28% in August and is expected to record its best monthly performance since November 2024. The U.S. Bitcoin ETF attracted $1.918 billion in inflows between August 17 and 21. A breakthrough of US$80,000 confirmed the return of market momentum, but has not yet verified a continuing trend.

Bitcoin hits its best weekly performance in years

All data confirms this: Bitcoin prices topped US$80,000 for the first time since mid-May, reaching a three-month high. Not only that! In the past week, BTC has also increased by more than 25%. Bitcoin has risen 16% since Donald Trump called on Congress last week to clarify the legal framework for the cryptocurrency industry. In August alone, the cryptocurrency rose 28%, its best monthly performance since November 2024.

According to data, this rally is not limited to Bitcoin. Solana also gained about 8%, driven by discussions among validators about slowing new token offerings. XRP's weekly gain exceeded 52%, making it the leading gainer among large-scale cryptocurrencies. However, current prices are still well below the all-time high set in October 2025. BTC prices hit about $126,000, then fell below $60,000 during the summer.

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Bitcoin returns to US$80,000 against a favorable macro background

Analysts agree that Bitcoin's surprising rebound does not come from the cryptocurrency industry itself, but from U.S. fiscal policy. On August 19, Treasury Secretary Scott Bessent announced that he would double the size of his long-term bond repurchase program from $2 billion to $4 billion each time. The goal: curb the upward trend in long-term yields, which hit about 5.25%, the highest level since 2007. The 10-year yield also rose to 4.75% at the end of July.

This intervention had a direct impact on the US dollar, causing it to weaken. This is enough to reignite what analysts call a "currency devaluation trade" strategy. The strategy refers to turning to rare assets such as Bitcoin and gold to hedge the perceived risk of devaluation in fiat currencies. Some analysts believe this sends a broader signal: Cryptocurrency markets do not expect U.S. policymakers to tolerate another rise in long-term interest rates until at least the midterm elections. This will create a more favorable macroeconomic environment for assets such as Bitcoin and gold. Gold has also recently hit a three-month high.

Bitcoin ETF inflows enhance rebound credibility

According to Farside Investors, the U.S. spot Bitcoin ETF set its best weekly inflow record in ten months. Data showed that the net inflow for the week ending August 21 was approximately US$1.92 billion, and another US$337.6 million flowed on August 24. BlackRock's IBIT Fund attracted $1.33 billion in funding for five consecutive trading days. Bloomberg analyst Eric Balchunas believes this is a structural bullish signal. The Ethereum ETF showed a similar trend, with inflows of approximately US$700 million during the week.

However, analysts emphasized one important point: the return of capital inflows was not enough to confirm a complete reversal. What are the reasons? Throughout 2026, Bitcoin ETF still showed a net negative balance of approximately US$2.9 billion. As a result, August's recovery was not enough to offset spring outflows.

U.S. Bitcoin ETF fund flows in August (Source: Farside Investors)

The rebound in BTC marks a pattern shift after months of consolidation

For most of 2026, Bitcoin was limited to the low range, while funds were concentrated in stocks related to artificial intelligence. The simultaneous return of ETF inflows, the liquidation of short positions, and the currency devaluation narrative has recreated a more conducive environment. Still, caution is needed. The momentum indicator is currently at around 78 and is considered overbought, raising concerns about short-term pauses.

Not only that! There is also a technical "sell wall" around the current price, corresponding to the area that many buyers bought before the May Bitcoin price correction. A clear break through this resistance level could open the way to the $95,000 to $97,900 range before considering a return to six figures.

Bitcoin reaches US$100,000? Several scenarios worth watching

Cryptocurrency analysts considered three possible scenarios: a return to $100,000; a consolidation between $75,000 and $85,000; and a retest of $60,000. If the U.S. dollar continues to weaken and the CLARITY bill passes the Senate before mid-September, Bitcoin could reach $100,000 by the end of the year. In this scenario, Ethereum and Solana will also benefit from significant spillover effects.

Risk aversion may return if voting on the CLARITY bill is postponed. Bitcoin will remain within the consolidation range, which means reduced volatility. If Treasury intervention is not enough to stabilize bond markets, a liquidity crisis could force investors to dump their most volatile assets, including BTC. In this case, the disaster scenario mentioned by Ray Dario may occur sooner than expected. Bitcoin will retest its year-long lows of around $58,000 to $60,000.

One thing is certain: August 2026 is expected to be the best month of the year for Bitcoin. Is this flagship cryptocurrency now ready to surpass its all-time high? The answer will depend on the sustainability of these inflows and the upcoming regulatory clarity.