Key Takeaways:
Bitcoin rose 7 percent to briefly touch $70,000 on Wednesday, the first time since June, as Trump pushed crypto legislation and Treasury buybacks lifted risk appetite.
The rally liquidated $1.4 billion in short positions across major exchanges, according to CoinDesk data, after the largest cryptocurrency broke above the $66,600 technical level traders had watched for much of August.
Trump told a White House gathering of crypto and technology executives that Congress needs to pass a "fair version" of the Digital Asset Market Clarity Act, with a procedural vote set for Sept. 15. Treasury Secretary Scott Bessent also doubled the size of the Treasury Department's bond buyback operations, which traders saw as a liquidity backstop for the $30 trillion Treasury market.
Bitcoin closed at $69,146 on Wednesday, up from $64,681 at the open, according to Yahoo Finance data. Market technician Aksel Kibar flagged an inverse head-and-shoulders pattern forming since June lows, with a confirmed break above the $66,600 neckline pointing to a possible move toward $76,000. Fed minutes released Wednesday showed most officials backed keeping rates unchanged at the July meeting, though several favored a hike.
Coinbase, Gemini, Ripple and Chainlink Labs were among the crypto companies represented at the White House event where Trump urged lawmakers to "take the next step" on the Digital Asset Market Clarity Act. Banking Committee Chairman Tim Scott said at the SALT conference Tuesday that the bill has a good chance of advancing in September.
Bitcoin's 24-hour trading volume reached $44.7 billion, according to Yahoo Finance data, with the price touching $69,819 at its session high before paring gains. Ethereum rose more than 17 percent to $2,247.68, according to CoinDesk data, as the broader crypto market followed Bitcoin higher. The CoinDesk 20 index gained 10.47 percent.
The breakout above $66,600 confirms an inverse head-and-shoulders pattern that had been forming since Bitcoin's June lows, according to market technician Aksel Kibar. A confirmed break points to a possible move toward $76,000, though the Fed's July meeting minutes released Wednesday offered less help to the bulls. Most officials backed keeping rates unchanged, but several favored a hike, and many thought tighter policy could be needed if inflation failed to fall.
For Bitcoin, the next key resistance sits at $70,000, with support at $66,600 and $63,000. CoinCodex forecasts BTC could reach as high as $74,357 on Aug. 23 before settling near $72,127 by month-end, while Benzinga's aggregated 2026 forecasts range from $95,241 in the bearish scenario to $142,049 at the upper end.
This article is for informational purposes only and does not constitute investment advice.
