Bitcoin Falls as 10‑Year Treasury Yields Rise Above 5%
Bitcoin drops as Treasury yields hit 19‑year high
Bitcoin’s price fell about 2% on Wednesday, trading around $84,357. At the same time, the yield on the U.S. 10‑year Treasury bond rose above 5%, a level not seen since 2007.
Key figures
- Bitcoin down 2% over the past 24 hours, price near $84,357.
- 10‑year Treasury yield climbed above 5% – first time in 19 years.
- Earlier in the week Bitcoin briefly reached nearly $87,330.
- The Treasury announced a buyback of up to $6 billion in longer‑dated debt.
U.S. Treasury buyback announcement
The Treasury Department said it will purchase up to $6 billion of longer‑term government debt on Thursday. This follows a similar announcement earlier in the year that had previously boosted Bitcoin, but the price fell despite the new buyback plan.
Why higher yields pressure Bitcoin
When government bonds pay higher interest, they become more attractive than assets that do not generate income, such as Bitcoin. Higher yields also tend to strengthen the U.S. dollar and reduce appetite for risk‑on investments. Bitcoin has retreated in past months whenever yields rose on inflation concerns, sometimes amplified by outflows from exchange‑traded funds (ETFs) and forced selling by leveraged traders.
Uncertainties
Although the Treasury’s buyback was expected to support Bitcoin, the price still slipped. The source does not explain why the market reacted negatively despite the buyback announcement.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.