Bitcoin Eyes $83K as Treasury Expands Bond Buybacks

Key Insights

• Bitcoin price traded near $79,100 as Treasury prepared larger long-end bond buybacks.
• A break above $83,000 could strengthen analyst scenarios targeting $100,000.
• BlackRock’s IBIT drew about $3.81 billion this quarter through Sept. 8.

Bitcoin price traded near $79,100 on Sept. 9 as markets awaited details on expanded U.S. Treasury bond buybacks.

The Treasury had already committed to at least doubling long-end liquidity-support operations. Bitcoin traders now watched whether lower long-term yields could improve conditions for risk assets.

The US 5-year Treasury yield climbed to 4.568%, its highest level since January 2025, as rising oil prices revived concerns over inflation. Moreover, the inflationary environment prompts investors to demand higher yields on government bonds, leading to a surge in Treasury yields.

On Wednesday, Sept. 9, the Treasury Department will work on the size of the buyback. However, Scott Bessent has said that it would be at least double the $2 billion buyback announced two weeks before, Bloomberg reported.

The 30-year Treasury yield is also trading near a 20-year high, while the US government is spending more than $1 trillion annually on interest payments. Treasury Secretary Bessent has said the buyback program is aimed at improving liquidity rather than controlling yields. “I have not bought anything yet,” said Bessent.

Any attempt to buy back US treasuries and lower bond yields would be net positive for Bitcoin price. The last time the Treasury buyback program expanded, Bitcoin surged 22% in a single week.

Following its recent rally, Bitcoin price has faced strong rejection at $83,000. As it once again trades below $80K, all eyes will be on Bessent’s decision on buybacks. Some market analysts have already started predicting the $100K possibility for BTC.

Popular analyst CryptoGoos stated that Bitcoin’s next major breakout could determine the cryptocurrency’s next major phase. According to the analyst, a break above $83,000 could open the door to a move toward $100,000. Conversely, a break below support could trigger a retest of $72,000.

CryptoGoos added that a potential decline toward $72,000 would present an opportunity to accumulate more Bitcoin. Bitcoin has formed a golden cross on the daily timeframe, according to Ted Pillows.

Pillows said that if Bitcoin closes the week above $83,000, it would open the door to the next rally toward $100,000 later this year.

Over the past three weeks, inflows into spot Bitcoin ETFs have remained strong. BlackRock’s iShares Bitcoin Trust (IBIT) has been leading most of the inflows.

BlackRock’s largest crypto ETF, IBIT, has attracted $3.7 billion in inflows so far this quarter. This puts it on track for its largest quarterly intake since Q3 2025. The ETF has recorded $459.8 million in inflows so far in September, following $3 billion in August.

As a result, IBIT’s assets under management have risen to $62.6 billion, near their highest level since mid-May. Since the start of July, the fund’s AUM has increased by $19.6 billion, or 46%.

Despite Bitcoin’s recent recovery, Bitcoin ETFs remain roughly $1 billion short of breaking even for 2026.

Institutional demand for Bitcoin ETFs remains strong, but the category will need additional inflows to close the gap before the end of the year.

This article is for informational purposes only and should not be considered financial or investment advice. Cryptocurrency markets remain highly volatile. Readers should conduct independent research before making investment decisions.

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