$BTC
High Rates Are Becoming Bitcoin’s New Test
Markets are raising expectations for another Fed rate hike in October. On September 25, CME showed a probability of around 66.4%, highlighting monetary policy as a key variable for risk assets.
The pressure is not just about another 25 basis points, but about the possibility of yields staying high for longer. As yields become more attractive, crypto faces a higher opportunity cost to attract capital.
The 83 - 86 range was previously a notable resistance zone for BTC. Breaking above it does not mean macro risks have disappeared.
If yields remain elevated, crypto flows could become more fragmented. Instead of watching price alone, it may be more useful to track yields, Fed expectations, and capital flows.
If the Fed is not truly easing yet, what could be strong enough to sustain capital flows into crypto?
High Rates Are Becoming Bitcoin’s New Test
Markets are raising expectations for another Fed rate hike in October. On September 25, CME showed a probability of around 66.4%, highlighting monetary policy as a key variable for risk assets.
The pressure is not just about another 25 basis points, but about the possibility of yields staying high for longer. As yields become more attractive, crypto faces a higher opportunity cost to attract capital.
The 83 - 86 range was previously a notable resistance zone for BTC. Breaking above it does not mean macro risks have disappeared.
If yields remain elevated, crypto flows could become more fragmented. Instead of watching price alone, it may be more useful to track yields, Fed expectations, and capital flows.
If the Fed is not truly easing yet, what could be strong enough to sustain capital flows into crypto?