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.
The information provided in this article is for informational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Source: https://coindoo.com/usa-wont-buy-more-bitcoin-says-bessent-sending-price-below-120k/