The 30-year US Treasury yield has reached 5%, its highest level since July 2025, prompting concerns among crypto analysts that rising yields could hurt bitcoin. This surge in bond yields is attributed to a combination of factors, including dissent within the Federal Reserve, elevated oil prices, and increasing long-term inflation expectations. As a result, investors may opt for the perceived safety of bonds over riskier assets like bitcoin, potentially leading to a decline in crypto valuations.
According to experts, the dynamic is straightforward: as long as yields remain attractive and the Fed's monetary policy stays tight, capital will have a real alternative to risk, putting pressure on assets like crypto.