Bitcoin has rebounded sharply since mid-August, returning to the 111 million won range in South Korea for the first time in nearly three months and briefly moving above $80,000. The recovery followed stronger risk appetite after the U.S. Treasury announced expanded buybacks of long-term Treasuries, while expectations for formal cryptocurrency rules further supported sentiment. Bitcoin was 108.91 million won at Upbit’s 9 a.m. close on Sept. 1, after reaching 111 million won on Aug. 27. In dollar terms, it rose above $73,000 on Aug. 21 and briefly touched $80,000 intraday on Aug. 25, its first move to that level since May. The U.S. Treasury’s Aug. 19 decision to more than double the buyback cap initially pushed long-term yields lower and encouraged demand for risk assets. Investors have also renewed interest in Bitcoin as a potential hedge against a weaker dollar because its supply cannot be expanded at will by governments. Regulatory optimism grew after the U.S. Securities and Exchange Commission (U.S. securities regulator) proposed rules on Aug. 18 for companies raising funds through token issuance. Attention is now focused on the Clarity Act, a crypto market-structure bill that would classify digital assets as securities or commodities and divide oversight between the SEC and the Commodity Futures Trading Commission (U.S. derivatives regulator). President Donald Trump urged swift passage of the bill during an Aug. 19 White House meeting with U.S. crypto-industry executives, attended by the heads of both agencies. U.S.-listed spot Bitcoin exchange-traded funds recorded net inflows for nine consecutive trading days from Aug. 17 through Aug. 27, totaling $3.4444 billion, including a record daily intake of $606.3 million on Aug. 20. Alternative’s Fear & Greed Index rose from 31 on Aug. 17 to 73 on Aug. 28, shifting from fear to greed in just over 10 days. The index was last in the 70s in October last year, when Bitcoin traded near 170 million won in South Korea and around $120,000 overseas. The Senate’s scheduled Sept. 15 vote on the Clarity Act may determine Bitcoin’s next direction. The bill passed the House in July last year and the Senate Banking Committee in May, but failed to pass the full Senate in early August. A crypto-industry official said the key question is whether Bitcoin can hold its gains and that the legislation will affect both Bitcoin and altcoins.