The yield on the 30-year US Treasury note has surged to 5%, its highest level since July 2025, prompting concerns among crypto analysts that rising yields will negatively impact bitcoin. As yields become more attractive, investors may opt for the relatively safe returns of bonds over riskier assets like cryptocurrency. This shift in investor sentiment could lead to a decline in bitcoin's value.
The current economic landscape, marked by elevated oil prices and rising inflation expectations, is contributing to the increase in bond yields. With the Federal Reserve indicating no immediate plans to ease monetary policy, the outlook for bitcoin and other risk assets remains challenging.