Bitcoin climbed past $80,000 during Asian trading Tuesday, extending a powerful seven-day rally of more than 25%. Solana led the largest altcoins with an almost 8% jump as validators considered changes that could curb new SOL issuance and increase the amount of tokens burned each day.

BTC gained around 4% over 24 hours after breaking through $80,000, continuing an advance that accelerated following the U.S. Treasury’s expansion of its bond-buyback program.

Despite the strong momentum, technical indicators suggest Bitcoin may be approaching an overheated level. Bitfire Research said a popular momentum measure had reached about 78 on a 0-to-100 scale, based on the relationship between recent gains and losses.

Levels above 70 are typically considered overbought, meaning the asset may have risen too quickly and could be due for a pullback. Bitfire sees resistance and potential selling pressure between $78,500 and $82,000, while the $72,400-$73,500 range could provide support.

Solana Outpaces Other Major Tokens

Solana climbed nearly 8% to slightly above $101, lifting its weekly performance to almost 35%. Ether rose more than 2% to just below $2,500, while its seven-day gain approached 32%.

BNB advanced more than 2% to just under $714. XRP added nearly 2% to above $1.50 and remains the best-performing major cryptocurrency over the past week, with gains above 52%.

The SOL rally coincides with validator votes on two proposals that could put downward pressure on the token’s supply. One proposal would reduce the pace of new SOL creation, while the other would increase daily burns to as much as $800,000. Voting ends Thursday.

Zcash gained more than 1% to around $846, extending its weekly advance to about 66% and giving it the strongest seven-day performance among the top dozen tokens.

Dogecoin edged higher to roughly $0.09 and is up around 32% for the week. Tron gained about 0.5% to trade near $0.35, with a weekly increase of approximately 4%.

Hyperliquid’s HYPE was the only major token to move lower, slipping slightly to around $81, although it remains about 36% higher over the past week.

Bond Buybacks Keep the Debasement Trade Alive

The broader crypto rally has been partly fueled by Treasury Secretary Scott Bessent’s plan to expand government bond repurchases. The move revived the “debasement trade,” where investors seek assets viewed as scarce or less exposed to government monetary policy as a hedge against potential currency weakness.

Bessent provided no additional details Monday, saying the Treasury would continue its existing securities-sale program. Further changes are not expected before the next quarterly refunding announcement in November.

Morgan Stanley estimates the Treasury could have between $80 billion and $200 billion in excess cash that could potentially be directed toward larger buyback operations, according to interest-rate strategist Martin Tobias.

Markets are now focused on Federal Reserve Chair Kevin Warsh’s speech at Jackson Hole on Wednesday. It will mark his first appearance at the annual central banking conference since taking the Fed chair.

The Jackson Hole address is closely watched because Fed chairs have historically used the event to communicate potential shifts in monetary policy. Lower rates typically support risk assets such as crypto by reducing financing costs, while higher rates can increase the appeal of safer government securities.

Traders are also tracking the upcoming Clarity Act procedural vote, the SEC’s work on its crypto regulatory framework, the September Fed meeting, PCE inflation data and new employment figures.