Bond yields just became a bigger problem for risk assets.
The U.S. 10-year Treasury yield jumped to 5.13% yesterday, its highest level since 2007, while the 2-year yield also climbed sharply. CoinDesk reported that October rate-hike expectations jumped as the bond selloff accelerated.
That matters because crypto has been running into this move in yields, not away from it.
BTC was near $87K earlier in the session. Then the bond market started moving and crypto followed lower.
Here's the catch: oil, inflation and Fed expectations are still tied together.
I'm watching yields closely now. If they keep climbing, BTC has another headwind to deal with.
#Megadrop #Fed
The U.S. 10-year Treasury yield jumped to 5.13% yesterday, its highest level since 2007, while the 2-year yield also climbed sharply. CoinDesk reported that October rate-hike expectations jumped as the bond selloff accelerated.
That matters because crypto has been running into this move in yields, not away from it.
BTC was near $87K earlier in the session. Then the bond market started moving and crypto followed lower.
Here's the catch: oil, inflation and Fed expectations are still tied together.
I'm watching yields closely now. If they keep climbing, BTC has another headwind to deal with.
#Megadrop #Fed