Key Facts
- —What happened Bitcoin surged 5.44% to US$73,033, breaking above its 200-day moving average for the first time in nine months.
- —How big a jump Record spot-Bitcoin ETF inflows hit US$517 million, and over US$1 billion in short positions were liquidated in two sessions.
- —The real story The rally is liquidity-driven, sparked by the US Treasury’s plan to double long-dated bond buybacks from September 9.
- —The catch Analysts call it a forced short squeeze, not a structural repricing, and warn it could fade without fresh spot buying.
- —Where it is growing In Argentina and Brazil, a stronger Bitcoin typically boosts stablecoin demand and retail interest in inflation-prone markets.
- —What comes next Watch ETF flows and XRP’s ability to hold US$1.25, as the Treasury buyback expansion starts September 9.
Today’s Focus
Bitcoin surged 5.44% on Thursday to settle at US$73,033, breaking back above its 200-day moving average for the first time in nine months. The move extended Wednesday’s surge on the US Treasury buyback pledge, and was carried on Thursday by record spot-Bitcoin ETF inflows of US$517 million — even as long-dated yields rebounded and the dollar firmed.
XRP was the standout among major tokens, jumping 14.85% to US$1.2684. Ethereum rose 3.33% to US$2,326 and Solana gained 2.65% to US$87.64. The squeeze on bearish bets exceeded US$1 billion in liquidations within a single hour.
The rally marks a sharp reversal from the defensive tone that had dominated crypto markets for much of the northern summer. Wednesday’s drop in long-term US yields made dollar-based safe assets less attractive and pushed capital toward riskier holdings, though yields rebounded on Thursday such as Bitcoin and alternative tokens.
What matters today. For Latin America, a stronger Bitcoin and easier global liquidity typically reinforces stablecoin demand in inflation-prone markets, even without fresh local adoption figures.
01 The session in one read
Bitcoin closed Thursday at US$73,033, a gain of 5.44% that pushed the coin back above its 200-day moving average for the first time in nine months. Thursday extended a rally that began on Wednesday, when the US Treasury said it would at least double buyback operations for 10-to-30-year debt from 9 September. Thursday itself was carried by record spot-Bitcoin ETF inflows of US$517 million.
The move squeezed traders who had bet on lower prices. More than US$1 billion in short positions was liquidated over the two sessions, forcing bearish speculators to buy back coins at rising prices and amplifying the rally.
The advance is best read as a liquidity event, not a structural repricing. The immediate catalyst was the Treasury buyback plan, amplified by a forced unwinding of bearish positions. Whether the move holds depends on whether spot buyers, rather than liquidated shorts, step in to sustain the level. The variable to watch next week is ETF and futures flow data.
02 The board
Bitcoin settled at US$73,033, up 5.44% on the day. Ethereum rose 3.33% to US$2,326, while Solana added 2.65% to US$87.64.
XRP was the clear outperformer, climbing 14.85% to US$1.2684. The steep jump hints at a heavier concentration of leveraged short bets in the token that were forcibly unwound as prices rose.
| Asset | Level | Change |
|---|---|---|
| Bitcoin | US$73,033 | +5.44% |
| Ethereum | US$2,326 | +3.33% |
| Solana | US$87.64 | +2.65% |
| XRP | US$1.2684 | +14.85% |
Source: RT close, 2026-08-20. Where a commodity has no spot feed, an exchange-traded tracker or leading producer is shown as a labelled proxy.
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Latin America — Cross-Market Board
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| IBOV | 192,114.55 | +2.63% | +21.85% | 187,197.46 | 168,310 | 167,142 | — |
| IPSA | 10,990.15 | +0.67% | — | 10,916.57 | 11,210 | 10,984 | 1,513,213,483 |
| IPC MEX | 64,531.68 | +1.10% | +12.17% | 63,828.60 | 66,121 | 65,405 | 108,886,187 |
| MERVAL | 2,767,663 | +0.32% | +30.51% | 3,022,485 | 3,042,365 | 2,991,150 | — |
| COLCAP | 2,515.02 | -0.59% | — | 9.04 | 9.05 | 9.02 | 4,133 |
| BVL PERÚ | 59,751.67 | +0.18% | — | — | — | — | — |
| USD/BRL | 5.16 | +0.01% | -5.13% | 5.16 | 5.18 | 5.14 | — |
| EUR/BRL | 5.95 | +1.01% | -5.83% | 5.89 | 5.98 | 5.94 | — |
| USD/MXN | 17.06 | -0.24% | -8.58% | 17.10 | 17.08 | 17.01 | — |
| USD/CLP | 913.98 | +0.04% | -5.67% | 913.65 | 915.11 | 906.68 | — |
| USD/COP | 3,140 | +0.03% | -22.04% | 3,139 | 3,141 | 3,105 | — |
| USD/PEN | 3.36 | -0.66% | -4.82% | 3.38 | 3.38 | 3.35 | — |
| USD/ARS | 1,493 | +0.10% | +12.96% | 1,491 | 1,494 | 1,480 | — |
| USD/UYU | 40.27 | +1.24% | +1.80% | 39.77 | 40.27 | 40.23 | — |
| USD/PYG | 5,939 | +1.68% | -19.54% | 5,841 | 5,939 | 5,925 | — |
| USD/BOB | 11.64 | -0.76% | +72.04% | 11.73 | 11.72 | 11.64 | — |
| USD/DOP | 58.34 | +1.25% | -3.44% | 57.62 | 58.34 | 58.04 | — |
| USD/CRC | 445.92 | +0.89% | -9.71% | 441.97 | 448.50 | 445.92 | — |
03 What moved it
The primary catalyst was the US Treasury’s announcement that it will expand liquidity-support buybacks for long-dated bonds. By doubling the size of those operations from US$2 billion to US$4 billion each, the Treasury signalled it wants to keep long-term borrowing costs contained.
That pushed yields lower and weakened the dollar, making non-yielding assets like Bitcoin relatively more attractive. The move was compounded by a short squeeze, as cascading liquidations fed on themselves to push prices higher.
A secondary driver was political. President Donald Trump met crypto industry leaders at the White House and pressed the Senate to pass a fair version of the CLARITY Act, a bill that would define which regulator oversees digital assets.
04 The Latin American read
For Latin American readers, the session matters less for its specific catalysts than for what it signals about global liquidity. Falling US long-term yields tend to reduce the appeal of holding dollars, which in turn supports demand for stablecoins and crypto in markets where citizens seek to protect savings from inflation.
A stronger Bitcoin also improves the collateral value of digital-asset portfolios held by Latin American investors. In Argentina and Brazil, where crypto adoption has run ahead of many larger economies, such rallies often translate into renewed retail interest.
05 The names to watch
The clearest signal for the week ahead is whether spot exchange-traded fund inflows confirm the price action. If the rally was purely a liquidation event, it may fade quickly; if fresh buying follows, the move could extend.
XRP’s 14.85% jump makes it the most sensitive token to any reversal in sentiment. Traders should watch whether the token can hold the US$1.25 level in the next session.
06 The outlook
The market now faces a test of conviction. The rally was rapid and heavily leveraged, which means the same dynamics that pushed prices up could reverse if liquidity conditions tighten.
The key variable is US Treasury policy. If the September 9 buyback expansion proceeds as announced, the supportive backdrop for risk assets should persist through the end of the month.
07 What to watch
- ETF flows: Watch whether spot Bitcoin ETF inflows confirm the price move; a liquidation-only rally tends to fade within days.
- Treasury buybacks: Monitor the September 9 start of expanded buyback operations; any delay or change in size would remove the rally’s main support.
- XRP open interest: Track XRP futures open interest after the 14.85% jump; falling open interest alongside rising price signals short covering rather than new buying.
- Dollar index: A resurgent US dollar would undercut the liquidity-driven case for crypto, especially in Latin American markets that track dollar strength.
Why did Bitcoin rise on Thursday?
Bitcoin rose 5.44% because the US Treasury said it would at least double buyback operations for long-dated debt, pushing down yields and weakening the dollar.
What is a short squeeze?
A short squeeze happens when traders who bet on falling prices are forced to buy back the asset as it rises, pushing the price up further.
Which crypto gained the most?
XRP gained the most among major tokens, rising 14.85% to US$1.2684, likely due to a higher concentration of bearish bets being unwound.
What does this mean for Latin America?
Lower US yields and a stronger Bitcoin typically support stablecoin demand and crypto adoption in inflation-prone Latin American markets.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
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