Do you feel that?
That’s the dormant feeling of bullishness rushing through your veins.
Bitcoin peaked at $126K last October before violently falling to $60K in early February. Despite all the negative headlines that followed, that level has largely held as the floor, marking what increasingly looks like price capitulation.
What came next was arguably even more brutal. Six months of time capitulation. Bitcoin spent most of that period trapped in the $60Ks, boring many holders into giving up and chasing gains elsewhere in the stock market.
Well, Bitcoin reminded the world this week that it is still very capable of doing Bitcoin things.
It ripped 23% in a single week, in a move powerful enough to turn heads across global finance and awaken some long-dormant animal spirits.
Was that enough to finally put the bear market behind us for good? Let’s find out.
Other headlines this week include
Citi joins the Bitcoin custody game.
Ray Dalio says now is the time to allocate to Bitcoin.
US national debt surpasses $40 trillion.
Latest News
Adoption
Visualize Bitcoin is a new interactive website that explains how Bitcoin works as a steampunk machine, connecting wallets, transactions, the mempool, mining, and difficulty adjustments into a single system.
BitBox discloses two severe hardware wallet vulnerabilities that could enable malicious firmware or redirect BTC transactions. No exploitation or stolen funds have been reported. Users are urged to update immediately.
Krackpot is a new game that lets anyone use their computer to try cracking Bitcoin Puzzle #71 and win 6 BTC. The odds? One gaming GPU would take an estimated 830,000 years.
Regulation
9/11 victim families are claiming the 127,700+ BTC seized from Prince Group belongs to the Iranian government and should be awarded to them, alleging the U.S. holds additional undisclosed Iran-linked Bitcoin.
The IRS is warning crypto holders about fake letters containing QR codes linking to a bogus “Digital Asset Compliance Portal” designed to steal personal information, wallet details and exchange credentials.
SEC formally proposes Regulation Crypto Assets, creating a new U.S. framework for crypto fundraising with exemptions, safe harbors and disclosure requirements as hopes for passing the CLARITY Act fade.
Markets
Citi confirms its Custody+ service will launch later this year, starting with Bitcoin and allowing institutional investors to custody traditional and digital assets within the same framework for the first time.
Ray Dalio expects debt and currency devaluation to cause “non-government-produced monies like gold and Bitcoin to do relatively well,” recommending investors overweight gold and hold “a bit of Bitcoin.”
Bitcoin ETFs see their largest inflows of the year, accumulating over $1.9 billion worth of Bitcoin. This is the largest weekly inflow since the week of the prior $126K all-time high in October 2025.
Treasury
Strive’s ASST surged 47.9% this week as SATA returned to its $100 par value for the first time since June, potentially reopening preferred issuance to fund more Bitcoin purchases.
Strategy held an investor Q&A where Saylor and Phong addressed an MSTR shareholder who invested $73,000 for each of his three children. Each of those positions is now worth $20,000.
Metaplanet will invest 2,100 BTC and $2.5 million into Nasdaq-listed Super League, creating a U.S. Bitcoin treasury company that will use American capital markets to raise funds and acquire Bitcoin.
Mining
Druckenmiller’s Duquesne Family Office opens positions in four publicly traded Bitcoin mining companies, adding Bitdeer, Riot, Hut 8, and IREN to its portfolio.
RY3T is developing a new Bitcoin miner that dynamically adjusts power consumption to match excess solar generation, turning electricity that might otherwise be curtailed or cheaply exported into sats.
Tether sees its $120M Uruguay Bitcoin mining expansion unravel after a dispute with state utility UTE over power-supply limits, with operations having ceased in 2025.
Politics
US national debt surpasses $40 trillion, prompting Chinese news agencies to publish AI-generated cartoon videos mocking America’s growing debt pile and deteriorating fiscal situation.
Justin Sun says a federal judge rejected efforts from the Trump family’s WLFi to move all his claims into private arbitration, keeping his individual claims and potentially some company-related claims in open court.
President Trump says the U.S. is considering buying “sizable amounts” of Bitcoin, adding that Bitcoin has been “very, very good to the dollar” by taking pressure off the currency.
Bitcoin Custody Lunch & Learn Webinar
In the wake of the recent COLDCARD exploit, Bitcoiners are taking a closer look at one of the most important questions any holder faces: How should you secure your Bitcoin?
Join Bitcoin News and Mita TechTalks for an exclusive one-hour webinar on Friday, August 28th at 12pm ET, breaking down three approaches to Bitcoin custody with industry experts:
José Flores, ArcadiaB
Self-Custody: The tools, practices, benefits, and tradeoffs of securing your own Bitcoin.
Dhruv Bansal, Unchained
Collaborative Multisig: How to eliminate single points of failure while maintaining control of your Bitcoin.
Rob Hamilton, AnchorWatch
Multi-Institution Custody & Insurance: How MIC works and the role insurance can play in protecting large Bitcoin holdings.
Each expert will lead a 15-minute session, followed by a 15-minute live Q&A where attendees can ask the panelists questions directly.
Attendance is limited to just 100 people.
Whether you self-custody today or are exploring more sophisticated solutions, this webinar will give you a practical understanding of the Bitcoin custody options available.
Register now to reserve your spot.
Bam’s 2 Sats
The Week Bitcoin Woke Up
This was one of those weeks Bitcoiners had been waiting a long time for.
After hovering between $62,000 and $64,000 since Strategy first sold some of its Bitcoin in early June, Bitcoin finally woke up and went vertical.
BTC ended the week up more than 20%, touching $79,500 on Friday.
But what triggered it?
If you looked around Bitcoin X (formerly Twitter) as the week began, sentiment was still extremely depressed.
Bitcoin was hovering below its 200-week moving average of roughly $64K, traders were calling for a continuation lower, and many were suggesting that the four-year cycle was approaching its final capitulation, with Q4 targets ranging anywhere from $30K to $55K.
To be honest, it felt like Bitcoin had held up remarkably well considering everything thrown at it over the past few months: continued ETF outflows, Strategy selling Bitcoin, the Coldcard hack, a steady stream of AI-related vulnerabilities being disclosed, the CLARITY Act going nowhere, and a generally ugly macro environment.
But then, some light finally started to shine.
Between last week and this week, we started seeing the latest institutional 13F filings, with multiple firms reporting increased positions in IBIT, including Jane Street, or even MSTR, which can effectively serve as a Bitcoin proxy.
But one filing, to me, offered more signal than most: Paul Tudor Jones.
Tudor Investment accumulated heavily following the launch of the Bitcoin ETFs in 2024, then spent much of 2025 significantly reducing its ETF exposure as Bitcoin climbed toward its new all-time high of $126K.
Now, Tudor has finally flipped back into accumulation mode, increasing its IBIT position by nearly 19% during Q2.
Then Entered the Bessent Put.
In a way, Bitcoin already looked like a coiled spring, ready to make a bold move in either direction. The price had spent weeks hovering in the low $60Ks without breaking materially lower, while volatility had fallen to some of its lowest levels on record.
From a macro perspective, however, things still looked far from great. Multiple wars around the globe showed no end in sight, the Strait of Hormuz remained a massive question mark, and long-term Treasury yields continued pushing higher as markets worried about inflation, fiscal deficits, and the possibility of rates staying higher for longer.
by treasury.gov
The U.S. Treasury announced that it would significantly increase its buybacks of long-term Treasury debt, with purchases of 10- to 30-year bonds rising to at least $4 billion per operation starting September 9. Treasury then doubled down, making clear that buybacks would not necessarily be limited to that amount.
The market reacted almost immediately. Bitcoin and other inflation hedges like gold and silver started ripping higher. It seemed the market smelled that liquidity was back on the menu.
The buybacks themselves are not money printing. But they send a message that may be even more important. The U.S. government is uncomfortable with long-term yields rising too far and appears willing to intervene to improve liquidity and relieve pressure at the long end of the Treasury market.
And markets immediately started asking the obvious question.
If this is what they are willing to do now, with stock markets at all-time highs and GDP numbers still strong, what comes next if conditions get worse?
The End of the Bear Market
Perhaps this was just a brief respite from a tiring bear market. Or perhaps it was the beginning of the next bull market.
It is still too early to tell, but just by looking at X, you could see how quickly traders who had spent weeks calling for $50K, $40K, or even $30K suddenly started changing their tune after Bitcoin’s massive run.
And while the move certainly feels like a breath of fresh air, I must say I still feel a little heartbroken by the Coldcard episode. My thoughts are with everyone who suffered losses and hasn’t been able to rebuild their stacks. It’s a good reminder to always be grateful for what you have.
Keep stacking.
- Bam
