Bitcoin Posts Record Weekly Dollar Gain as Markets Eye Warsh’s Jackson Hole Debut

Bitcoin posted its biggest weekly dollar gain on record. The week ended Aug. 23 produced a $14,264 climb, closing at $77,387, The Block reported.

That $14,264 advance translated to a 22.7% weekly jump. It also stood as bitcoin’s best percentage week since March 2023, according to Cointelegraph, which pegged the weekly gain at 23.5%. Friday saw a brief push above $79,000 before the price settled lower.

The timing was no coincidence. U.S. fiscal credibility took a hit. The Treasury Department pledged to at least double certain debt buyback operations to $4 billion, per the Kobeissi Letter, after the national debt crossed $40 trillion. Annual interest payments on that debt now exceed Medicare spending. Against that backdrop, bitcoin crossed back above its 200-day moving average for the first time since November 2025.

Altcoins ran harder still. Ethereum (ETH) gained 31.1% to $2,456. XRP surged 53.3% to $1.52, its best week in over 21 months, per The Block. Total crypto market cap sat at $2.63 trillion, according to CoinMarketCap.

Spot bitcoin ETFs pulled in $1.92 billion in net inflows during the trading week ended Aug. 21. That was the largest weekly haul since October 2025, per SoSoValue data cited by The Block. Bitcoin and ether ETFs together drew more than $2.61 billion, Cointelegraph reported. The Crypto Fear & Greed Index hit 78, its highest reading since December 2024. The bitcoin-to-gold ratio reached 16.73 ounces per BTC, the strongest since May, per Longtermtrends.

Now attention pivots to Jackson Hole. Fed Chairman Kevin Warsh is scheduled to deliver his first speech at the Kansas City Fed’s annual symposium on Aug. 27-29, per Yahoo Finance and the Wall Street Journal. Warsh offered little insight on his economic views after the July policy meeting and avoided forward guidance on rates, Yahoo Finance reported.

Traders are split on whether this rally has legs or has already run too far. Matt Cole, CEO of Strive, told The Block that bitcoin had broken out against both the dollar and gold. “The breakout has been explosive,” Cole said. He predicted the next bitcoin cycle “will be the strongest we have ever seen,” citing the “growing hunt for scarcity in an AI-driven world of abundance.”

Geoff Kendrick, global head of digital asset research at Standard Chartered, wrote in a Friday note that for the first time this year there was a risk his end-year forecast of $100,000 was too low. He pointed to short liquidations, recovering ETF inflows, and low open interest. Kendrick said bitcoin may move toward its all-time high of $126,000 before year-end.

Not everyone is chasing. Rachael Lucas, a crypto analyst at BTC Markets, told The Block that momentum this sharp is often driven by short covering, spot demand, and derivatives positioning rather than a single catalyst. “The key thing to watch isn’t the headline number; it’s whether spot volume and ETF inflows are confirming the move or whether borrowed money is amplifying it,” Lucas said.

She flagged overheated funding rates and elevated open interest as early warnings of a derivatives-fueled pullback. Hawkish rate repricing or dollar strength could cap enthusiasm. A fair amount of profit-taking, she noted, is normal during price discovery.

Gracy Chen, CEO of Bitget, struck a more cautious tone. She told Cointelegraph she expects bitcoin to remain broadly around current levels through year-end despite the surge, finishing perhaps $10,000 to $20,000 above or below present prices.

Ray Dalio, founder of Bridgewater Associates, said in a Cointelegraph interview that a U.S. debt crisis could arrive in roughly three years “if the course we’re on is not changed.” Dalio recommended allocating about 15% of portfolios to gold and “a bit of Bitcoin.”

Dominick John, an analyst at Zeus Research, told The Block the rally would continue short-term on ETF inflows and improving macro liquidity, with the CLARITY Act potentially advancing in September. His main target is reclaiming $80,000. “If the breakout holds, I’d look toward $85,000-$90,000, with $100,000 possible if ETF inflows and macro liquidity remain supportive,” John said.

Traders, as ever, disagree.