Bitcoin extended its rebound on Monday, rising about 2% to trade just under $80,000 at levels not seen since May, while ether gained 2% to about $2,500, its highest since January. The advance followed a more than 20% three-day surge—the largest such rally since 2023—after a macro shift in which the Treasury said it would double purchases of longer-dated government bonds, briefly pushing yields lower and reviving demand for risk assets and scarce stores of value such as bitcoin and gold. Spot bitcoin ETFs posted $1.92 billion in weekly inflows, their largest since October’s cycle peak, and more than $4 billion in bearish crypto positions were liquidated in a short squeeze. Crypto treasury stocks followed, with Strategy and Strive up about 2% and 4% and Bitmine and Sharplink up about 3% and 2%. BTIG’s Jonathan Krinsky compared the breakout with January 2023, when a similar roughly 20% three-day surge later faded toward the 200-day moving average. Bridgewater Associates founder Ray Dalio warned that major economies could face a debt crisis within several years and recommended holding “a bit” of bitcoin. Earlier reporting tied the debasement trade to Treasury Secretary Scott Bessent’s bond-buyback and liquidity plans, a roughly $500 billion lift in crypto market value, and large institutional shorts on Hyperliquid that market makers framed as cash-and-carry hedges rather than outright bearish bets.