Bitcoin has surged close to $72,000 following remarks by U.S. Treasury Secretary Scott Bessent, who sought to alleviate concerns over rising oil prices. In a statement made on Thursday, Bessent announced that the Treasury would grant temporary authorization for countries to purchase Russian oil currently in transit.
During his address, Bessent emphasized the administration’s commitment to stabilizing energy prices, asserting that the recent spike in oil costs is a short-term issue. He stated, “To increase the global reach of existing supply, the U.S. Treasury is providing a temporary authorization to permit countries to purchase Russian oil currently stranded at sea.” He further suggested that fears regarding the impact of rising oil prices on the economy were exaggerated.
On the same day, oil prices saw a significant increase, climbing nearly 10% to approach $100 per barrel, which contributed to notable declines in the U.S. stock market. As a result of Bessent’s announcement, Bitcoin saw a 2.2% increase over the past 24 hours, trading at approximately $71,560 before briefly touching just below $72,000.
As for crude oil, West Texas Intermediate (WTI) has seen a slight pullback, now trading around $95.22 per barrel.
In related news, a crypto investor faced significant losses due to a transaction mishap, turning a $50 million investment into just $36,000. This incident highlights the risks associated with decentralized finance, particularly when executing large orders against limited liquidity.
- A crypto trader lost about $50 million in a single transaction after swapping interest-bearing aEthUSDT for aEthAAVE through CoW Protocol.
- Large losses by slippage occasionally occur in decentralized finance (DeFi) when traders attempt to execute unusually large orders against shallow liquidity pools, with arbitrage bots exploiting the price dislocation.
- Aave founder Stani Kulechov noted that the interface had warned the user about extraordinary slippage and required explicit confirmation, which the user accepted on their mobile device.
Bitcoin's price surged close to $72,000 following U.S. Treasury Secretary Scott Bessent's announcement aimed at stabilizing oil prices. His statement came as oil prices rose sharply, impacting the stock market and highlighting the volatility in both energy and cryptocurrency markets.