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Bitcoin Grew 105 Times Faster than the S&P 500 with 21.5% Surge as $80,000 Level Approaches

Bitcoin Grew 105 Times Faster than the S&P 500 with 21.5% Surge as $80,000 Level Approaches

Tipranks2026/08/21 14:18
BTC+6.41%

Bitcoin (BTC-USD) is trading near $77,042 after a 21.5% five-day jump that delivered AI-stock-like returns in a small fraction of the time. The S&P 500 averages about 10% in total yearly growth, which breaks down to a 0.19% gain across a normal five-day window. This 20% surge allowed Bitcoin to grow 105 times faster than the typical stock market pace while pushing toward the $80,000 mark.

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The rally peaked at $79,500 on Friday before pulling back. Despite this quick rise, Bitcoin still trades about 39% below its record high of $126,080 set in October 2025.

Washington’s Liquidity Plan Sparked the BTC Rally

A liquidity plan from Washington provided the main spark for the price surge. On August 19, the U.S. Treasury announced plans to double its long-term bond buybacks from $2 billion to $4 billion per operation.

Set for September 9 through November 4, the buys focus on 10-year to 30-year debt after long-term yields hit 20-year highs.

This update triggered heavy buying across crypto markets.

Forced short liquidations wiped out $1.06 billion in bearish bets in a single day. At the same time, buyers poured cash into U.S. spot Bitcoin ETFs, adding $517.2 million on August 19 and $606.3 million on August 20.

Technical Barriers Still Block BTC’s Path Past $80,000 Resistance

Strong overhead price walls create a clear test as Bitcoin approaches the $80,000 level. Friday’s peak at $79,500 hit a rising trendline drawn from February lows. This line previously held as price support before breaking in June.

Bitcoin faces two price ceilings in the same spot. May’s high point at $79,427 sits right below the key $80,000 mark. Key indicators show the rally is overstretched, hitting an RSI peak of 84.64. A drop toward $73,027 would let buyers catch their breath while keeping the overall rise intact.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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