Bernstein: Bitcoin's Rally to $78,000 Driven by Liquidity and Rebounding ETF Inflows

Hu 火星 Finance reports that on August 21, Bernstein analysts suggested that Bitcoin’s recent two-day rebound may signal a shift in market momentum, driven by improved liquidity conditions, renewed ETF demand, and a more favorable regulatory environment. Bitcoin briefly reached $79,500 on Friday before retreating to around $78,000; analysts linked this rally to the U.S. Treasury’s announcement of increased repurchase operations for long-term Treasuries, noting that historical liquidity expansion has typically benefited Bitcoin. Additionally, Ethereum outperformed Bitcoin during this rebound, which analysts attribute to ETH’s higher exposure in areas such as stablecoins, tokenization, and real-world assets. Spot Bitcoin ETFs have shifted from net outflows in May and June to net inflows of $1.6 billion this week, pushing assets under management above $85 billion; Strategy’s holdings have turned more than $2 billion in unrealized gains, with cash reserves sufficient to cover 2.8 years of dividend payouts. Bernstein also noted that regardless of whether the highly anticipated CLARITY Act—set for a procedural vote on September 15—passes, both the SEC and CFTC are expected to accelerate legislative progress in areas including native token issuance, equity tokenization, perpetual contracts, hashing power derivatives, and prediction markets. (The Block)