JUST IN – Bitcoin Dips Below $119K — Treasury Secretary’s ‘No Buys’ Reverberate Through Markets
Bitcoin fell sharply Thursday after the US Treasury made clear it won’t add to a deliberate Bitcoin reserve via new purchases.
Associated Studying
Costs had earlier rallied to an intraday excessive close to $124,120, however merchants noticed features reverse and the token backpedaled to round $118,550 later within the session.
Markets had been jittery, and elements of the crypto futures market noticed pressured liquidations through the sell-off.
Treasury Guidelines Out New Buys
In response to reports, Treasury Secretary Scott Bessent advised Fox Enterprise the federal government won’t be shopping for extra Bitcoin for the reserve and that future additions will come from confiscated belongings.
“We’re not going to be shopping for that,” he mentioned, and he added the Treasury would “cease promoting” holdings it already controls.
Bessent estimated the reserve’s present worth at someplace between $15 billion and $20 billion.
The feedback stand in reduction to an earlier transfer by US President Donald Trump, who issued an government order asking for budget-neutral plans to develop strategic Bitcoin holdings.
JUST IN: 🇺🇸 Treasury Secretary Bessent says the US Authorities is “not going to be shopping for” Bitcoin. pic.twitter.com/vL79P531CP
— Watcher.Guru (@WatcherGuru) August 14, 2025
Market Response And Value Swings
Based mostly on reviews, the sell-off erased a piece of Thursday’s features. One feed confirmed Bitcoin drop from about $121,050 to $117,201 inside an hour, whereas different knowledge factors put the low close to $118,460.
Buying and selling platforms recorded a wave of liquidations estimated at roughly $450 million across the similar time.
Merchants mentioned the sudden shift was pushed by the readability in coverage — buyers had been pricing a doable authorities buyback program into earlier optimism, and that expectation pale after Bessent’s remarks.
U.S. Treasury Secretary Scott Bessent mentioned in an interview with Fox, “We aren’t going to be shopping for,” referring to crypto reserves, and can as an alternative use seized belongings. He has additionally said that the worth of Bitcoin reserves is about $15 billion to $20 billion, and that the…
— Wu Blockchain (@WuBlockchain) August 14, 2025
Macroeconomic Indicators And Tariff Income
Studies have additionally disclosed that Bessent linked some balance-sheet plans to rising tariff collections, saying July introduced almost $30 billion in tariff revenues.
Bessent instructed annual tariff receipts might prime a earlier projection of $300 billion, a determine he mentioned might assist fund different asset methods.
The timing of his feedback additionally got here as US knowledge confirmed the Producer Value Index rising 3.3% year-on-year and 0.9% month-on-month for July, numbers that add to the broader financial backdrop buyers are watching.
Associated Studying
Confiscated Belongings Versus Direct Purchases
The Treasury secretary’s notice that confiscated belongings shall be used to develop the reserve shifts the funding mannequin away from direct Treasury buys.
For now, which means any additional improve within the reserve could be gradual and depending on legislation enforcement recoveries fairly than market purchases.
Market members mentioned that stance removes a transparent, predictable purchaser from the market, which may make worth swings bigger over quick home windows — precisely what merchants noticed on Thursday.
Featured picture from Unsplash, chart from TradingView
