Bitcoin extended its recent gains on Tuesday as increased purchases by corporate holder Strategy provided fresh support for the cryptocurrency, while broader optimism around U.S. crypto regulation helped lift digital assets.
Bitcoin rose 0.83 percent to $85,992.0 by 12:28 GMT, after reaching a near eight-month high on Monday.
U.S. regulatory progress lifts digital assets
The world’s largest cryptocurrency has rallied sharply over the past week. While disappointment over the failure of the U.S. crypto market structure bill known as the Clarity Act initially weighed on sentiment, moves by the U.S. Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) to introduce their own crypto regulatory measures helped offset some of the concerns.
Falling oil prices and Treasury yields have also contributed to a broader risk-on rally across cryptocurrency markets.
Strategy buys 950 Bitcoin
Strategy Inc disclosed on Monday that it had purchased 950 Bitcoin for $75.7 million between September 14 and September 20. The latest acquisition brought the company’s total Bitcoin holdings to 846,000 coins, its highest level since late June, although still below its record of 847,363 Bitcoin.
The purchase provided additional support for investor confidence in Strategy’s Bitcoin treasury strategy, particularly after the company sold part of its holdings earlier this year.
Strategy also disclosed that it had repurchased 1.77 million shares of its STRC preferred stock during the same period for $174 million. The company has been steadily buying back its preferred stock as it seeks to reduce its dividend obligations. Its latest Bitcoin purchases were financed through a combination of debt and equity issuances.
Binance faces reported U.S. sanctions probe
Meanwhile, Binance is reportedly under investigation by U.S. federal prosecutors over whether the cryptocurrency exchange violated sanctions on Iran by facilitating certain trading activity on its platform.
Authorities are also examining whether Binance knowingly allowed the trading activity, according to reports.
The investigation comes after Binance previously agreed to pay a $4.3 billion fine to U.S. authorities after pleading guilty to violations of anti-money laundering and sanctions laws.
BNB, the exchange’s native cryptocurrency, rose 1.8 percent on Tuesday, lagging gains among several other major altcoins.
Read: Bitcoin rises 1.48 percent to $81,597 as $324.6 million ETF inflow lifts sentiment
Market extends gains alongside Bitcoin
Broader cryptocurrency markets also moved higher on Tuesday, following Bitcoin’s rally over the past week.
Ether, the world’s second-largest cryptocurrency by market value, gained 0.45 percent to $2,749.64, while XRP jumped 3.72 percent to $1.5425.
Among other major altcoins, Solana gained 0.48 percent to $117.47, while Cardano rose 0.57 percent. Memecoins also advanced, with Dogecoin climbing 5.3 percent and TRUMP holding steady.
