U.S. Treasury to double long-term bond purchases by at least $4B; bullish for BTC

The U.S. Treasury has decided to double its purchases of long-term government bonds to at least $4 billion as yields on 10-year to 30-year Treasuries rose rapidly. Spot On Chain said total U.S. debt is nearing $40 trillion and that an energy shock tied to the Iran war, alongside fiscal expansion, drove the surge in Treasury yields and ultimately prompted the intervention. According to Spot On Chain, the move directly injects liquidity into the long-term Treasury market and eases financial conditions, while risk assets generally tend to rise when the Treasury intervenes. BTC has also extended gains since the news emerged, with Spot On Chain adding the Treasury's bond purchases are providing an additional fundamental tailwind to Bitcoin's existing upward momentum.