Bitcoin Rallies 5.4% to $76,976 as Treasury Policy Fuels Crypto Gains

Bitcoin surged 5.4% to $76,976 in the past 24 hours, adding $3,963.82 to its price as gold and crypto rallied on US government debt policy. Record deficit spending and the Treasury Department’s pledge to double debt buyback operations to $4 billion fueled the move, according to market analysis. The rally reflects broader macro sensitivity to inflation and monetary policy shifts.

Why Bitcoin and gold rallied together on Treasury policy

Bitcoin and gold both hit their highest levels since May 15 against the US dollar, with BTC up 5.4% and gold up 2.2% on the day. The Kobeissi Letter attributed the rapid gains to inflation, deficit spending, and US Treasury policy. Record government deficit spending combined with the Treasury’s pledge to at least double debt buyback operations to $4 billion drove both asset classes higher, signaling investor demand for inflation hedges.

Technical indicators show overbought conditions across multiple signals

Bitcoin’s RSI stands at 81.01, well into overbought territory above 70, while the Stochastic oscillator reads 91.61 percent K, indicating extreme momentum. The MACD histogram at 1,295.11 shows strong bullish separation, and the ADX at 25.44 confirms a strong trend. Price sits above the upper Bollinger Band at 72,434.55, suggesting the move has extended beyond normal volatility ranges and may face pullback pressure.

Meyka forecasts show divergent near and long-term outlooks

Meyka’s one-month forecast of $60,901.03 implies a 20.9% decline from current levels, while the 12-month forecast of $96,695.34 suggests a 25.6% gain. The wide gap reflects uncertainty about whether the current overbought rally sustains or corrects sharply. Forecasts may change due to market conditions, regulations, or unexpected events.

Volume surge and cross-asset signals point to macro-driven moves

Trading volume hit 43.88 billion, 59% above the 30-day average of 27.63 billion, indicating strong participation in the rally. QCP Capital noted that Treasury announcement divergence showed BTC and gold retracing less than Treasuries, highlighting sensitivity to monetary regime shifts. The Money Flow Index at 71.76 confirms strong buying pressure across the market.

Final Thoughts

Bitcoin’s 5.4% rally reflects macro forces rather than coin-specific news, with overbought technicals suggesting caution despite the strong move. The divergence between Meyka’s near-term and long-term forecasts signals traders should watch for consolidation or pullback after this extended run.

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Disclaimer:

Cryptocurrency markets are highly volatile. This content is for informational purposes only. The Forecast Prediction Model is provided for informational purposes only and should not be considered financial advice. Meyka AI PTY LTD provides market data and sentiment analysis, not financial advice. Always do your own research and consider consulting a licensed financial advisor before making investment decisions.