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 hurt bitcoin. This increase in bond yields makes them more attractive to investors, potentially leading to a decrease in demand for riskier assets like bitcoin. As a result, the price of bitcoin has fallen, trading at $75,670, down 2% over the past 24 hours.
The rise in bond yields is attributed to various factors, including the Federal Reserve's decision to keep interest rates unchanged and the internal dissent among its officials, which has led to expectations of higher interest rates for a longer period. Additionally, the recent surge in oil prices has lifted inflation expectations, further contributing to the increase in bond yields.
According to experts, the current market conditions, characterized by rising yields and a strong dollar, are likely to continue putting pressure on crypto valuations.