Bitcoin (BTC) gave up its recent gains to retreat much lower than the $87,000 price mark it recently reached as U.S. Treasury yields hit multi-decade highs on Sep. 24. The 30-year Treasury bo
Bitcoin (BTC) gave up its recent gains to retreat much lower than the $87,000 price mark it recently reached as U.S. Treasury yields hit multi-decade highs on Sep. 24.
The 30-year Treasury bond yield hit a 2004 peak of around 5.44%, and the 10-year Treasury bond yield hit a 2007 peak above 5.13% earlier today, as per CNBC.
Yields and prices move in opposite directions, and the latest yield spike coincides with the rout in the bond market. The data suggests the market expects another interest rate hike from the Federal Reserve.
Bitcoin recently braved the CLARITY cloture failure in the U.S. Senate and the first Fed rate hike since 2023. It then saw a few immediate positive regulatory moves from the Donald Trump administration, such as the Bitcoin reserve bill getting advanced.
On Sep. 22, BTC surpassed the $87,000 price mark. The last time it went this high was in January.
But the leading cryptocurrency couldn't sustain the rally following the recent spike in Treasury yields. It was trading at $84,208.97 at the time of writing, down 1.6% in a day.
Ethereum (ETH) also fell 2% to $2,668.39, and XRP fell 4.2% to $1.50.
The downturn was extended to meme coins too. While Dogecoin (DOGE) dropped 5.4% to trade at $0.09421, Shiba Inu (SHIB) fell 5% to $0.055703.
The total crypto market capitalization dropped 2.5% to $2.93 trillion at the time of writing.
