USA Won’t Buy More Bitcoin, Says Bessent, Sending Price Below $120K
Bitcoin’s record-breaking rally hit a speed bump on Thursday after U.S. Treasury Secretary Scott Bessent ruled out additional acquisitions for the nation’s Bitcoin and digital asset reserve.
The move sent prices sliding beneath the $120,000 mark, just hours after setting a fresh all-time high of $124,457.
Bessent, speaking to Fox Business, said the government would rely solely on confiscated assets to grow its reserve rather than making new market purchases. The stance diverges from President Donald Trump’s earlier directive urging “budget-neutral strategies” to expand the nation’s Bitcoin holdings.
Earlier this year, the administration had explored unconventional funding sources, including tariff revenues and reassessing gold certificate values, to bolster acquisitions. The latest comments effectively shelve those plans — at least for now.
Despite the setback for bullish sentiment, Bessent confirmed Washington has no intention of liquidating its existing Bitcoin reserve, which he valued between $15 billion and $20 billion at current prices.
White House digital asset adviser David Sacks previously described the reserve as a “digital Fort Knox” intended to be held as a long-term store of value.
The market reaction comes at a time when U.S. debt has surged past $37 trillion for the first time, a milestone that has fueled arguments for Bitcoin as a hedge against inflation and fiscal expansion. Just before the policy clarification, Bitcoin’s market cap had briefly overtaken Google’s, making it the fifth-largest asset globally.
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Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
