Bitcoin Surges Past $79K as Treasury Stimulus Revives Risk Assets; XRP Breaks 2025 Resistance

Treasury Stimulus Ignites Crypto Market Rally

The cryptocurrency market staged a powerful three-day recovery this week, with Bitcoin surging to $79,461 as U.S. Treasury Secretary Scott Bessent announced a significant liquidity injection into the financial system. The Treasury disclosed plans to more than double its long-term Treasury bond buyback operations, raising the limit to at least $4 billion per operation, a move designed to stabilize volatile debt markets and lower government bond yields.

The announcement sent ripples through risk asset classes, with falling Treasury yields weakening the dollar and forcing institutional capital into Bitcoin and technology stocks. According to SoSoValue, Bitcoin ETFs captured $606.29 million in net inflows on Thursday—the highest volume since May—while Ethereum ETFs attracted $220.77 million, marking their strongest performance since October of last year. The buying pressure proved so intense that $1.51 billion in positions were liquidated across derivatives exchanges, including $1.21 billion in forced short closures.

MicroStrategy’s Billion-Dollar Comeback

The rally delivered a dramatic reversal for MicroStrategy, the company that spent much of 2026 accumulating Bitcoin as prices declined. After locking in losses and making purchases near $62,000 to $64,000, the firm’s holdings surged $1 billion into profitability as Bitcoin reclaimed higher ground. According to BitcoinTreasuries.net, MicroStrategy’s enterprise value has climbed to $64.9 billion, effectively backing the company’s entire market capitalization with Bitcoin holdings.

The comeback creates a potential catalyst for further buying pressure. The company’s debt structure—totaling $13.27 billion across its Digital Credit stack—includes bonds trading at a 4.34% discount to par value. Should these instruments close that gap, CEO Michael Saylor would likely resume the aggressive Bitcoin purchase strategy that defined prior years. With approximately $4.8 billion in available cash and growing corporate profitability, MicroStrategy appears positioned to accelerate its Bitcoin accumulation, potentially driving additional rally momentum.

XRP Breaks Historic Resistance as Korean Retail Leads Surge

While Bitcoin captured headlines, XRP delivered a more dramatic one-day performance, jumping 18.03% to $1.37 and extending its weekly gains to 38%. The token’s surge is directly challenging the $1.3702 ceiling established on October 10, 2025—a day dubbed “Black Friday” by the community because it marked the beginning of a prolonged 2026 downturn.

Korean retail investors led the charge, with Upbit trading volumes exploding 250% to $1.8 billion. XRP became the exchange’s most-traded asset with $546.56 million in volume, surpassing even Bitcoin. Local traders orchestrated a massive capital rotation, liquidating positions in technology stocks like Samsung and SK Hynix held on the KOSPI and redirecting proceeds into cryptocurrency.

Momentum behind XRP intensified following an announcement from Ripple and Clearpool regarding private lending capabilities on the XRP Ledger, opening new use cases for the token. The asset now eyes additional resistance at $1.4242 while maintaining support at $1.2286. Regulatory developments offered additional tailwinds, with CFTC Chairman Michael Selig signaling that the agency would independently regulate cryptocurrency if the Senate continues delaying passage of the CLARITY Act.

On-chain data from CryptoQuant showed the Bitcoin Bull Score Index returning to bullish territory for the first time since October 2025, suggesting a decisive trend reversal. The convergence of institutional Treasury-driven liquidity, MicroStrategy’s renewed buying power, and retail enthusiasm—particularly from Asia—sustains momentum through the coming weeks. XRP’s breakout through its multi-month ceiling indicates that bear-market weakness may finally be giving way to renewed institutional and retail participation.

Source: U.S. Treasury, via U.Today. Not financial advice.