US Treasury Halts Bitcoin Purchases, Triggering Market Downturn

The U.S. Treasury’s recent decision to halt purchases of Bitcoin has significantly impacted the cryptocurrency market. The announcement, made by Treasury Secretary Scott Bessent on August 18th, 2025, led to a dramatic drop in Bitcoin prices, causing $963 million in leveraged positions to be liquidated within hours. This move caused Bitcoin’s price to fall below $113,000 and impacted other major cryptocurrencies like Ethereum. Experts believe the halt could signal broader changes in financial regulations and market cycles.